6-K
United States Securities and Exchange Commission
Washington, D.C. 20549
FORM 6-K
Report of Foreign Private Issuer
Pursuant To Rule 13a-16 or 15d-16
of the
Securities Exchange Act of 1934
For the month of
June 2006
Companhia Vale do Rio Doce
Avenida Graça Aranha, No. 26
20005-900 Rio de Janeiro, RJ, Brazil
(Address of principal executive office)
(Indicate by check mark whether the registrant files or will file annual reports under cover
of Form 20-F or Form 40-F.)
(Check
One) Form 20-F þ Form 40-F o
(Indicate by check mark whether the registrant by furnishing the information contained in this
Form is also thereby furnishing information to the Commission pursuant to Rule 12g3-2(b) under the
Securities Exchange Act of 1934.)
(Check One) Yes o No þ
(If Yes is marked, indicate below the file number assigned to the registrant in connection
with Rule 12g3-2(b). 82-o.)
Table of Contents
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CVRD: |
|
Registry with the Federal Public Service Securities Commission (Comissão de Valores
Mobiliários CVM) |
REGISTRY WITH THE CVM DOES NOT IMPLY ANY JUDGEMENT ABOUT THE COMPANY, SINCE
ITS ADMINISTRATORS ARE RESPONSIBLE FOR THE TRUTHFULNESS FOR THE INFORMATION
GIVEN.
|
1 CVM CODE 2 NAME OF THE COMPANY 3 CNPJ (CORPORATE TAXPAYER NUMBER)
00417-0 COMPANHIA VALE DO RIO DOCE 33.592.510/0001-54
4 TRADE NAME 5 PREVIOUS NAME 6 NIRE
CVRD NIHIL 33300019766
7- SITE
www.cvrd.com.br
|
01.02 ADDRESS OF THE PRINCIPAL OFFICE |
1 FULL ADDRESS (STREET, No. AND COMPLEMENT) 2 DISTRICT DOWNTOWN
Avenida Graça Aranha, 26 Centro
3 CEP (ZIP CODE) 4 MUNICIPALITY 5 FEDERAL UNIT
20030-900 Rio de Janeiro RJ
6 AREA CODE (DDD) 7 PHONE No.
21 3814-4477 8 PHONE No. 9 PHONE No. 10 TELEX
11 AREA CODE (DDD)
12 FAX 13 FAX 14 FAX
15 E-MAIL
www.cvrd.com.br
|
01.03 SHAREHOLDERS DEPARTMENT |
Bernardeth Vieira de Souza
2 POSITION
Treasury General Manager
3 FULL ADDRESS (STREET, No. AND COMPLEMENT) 4 QUARTER OR DISTRICT
Avenida Graça Aranha, 26 13th floor Centro
5 CEP (ZIP CODE) 6 MUNICIPALITY 7 FEDERAL UNIT
20030-900 Rio de Janeiro RJ
8 AREA CODE (DDD) 9 PHONE No. 10 PHONE No. 11 PHONE No.
21 3814-4454 12 TELEX
13 AREA CODE (DDD) 12 FAX 15 FAX 16 FAX
21 3814-4603 -
17 E-MAIL
bernardeth.souza@cvrd.com.br
|
Bradesco Bank
19 CONTACT
Antonio Carlos Menegaci
20 FULL ADDRESS (STREET, No. AND COMPLEMENT) 21 QUARTER OR DISTRICT
Prédio Amarelo Velho, 2º andar Osasco
22 CEP (ZIP CODE) 23 MUNICIPALITY 24 FEDERAL UNIT
06029-900 São Paulo SP
25 AREA CODE (DDD) 26 PHONE No. 27 PHONE No. 28 PHONE No.
11 3684-4522 29 TELEX
30 AREA CODE (DDD) 31 FAX 32 FAX 33 FAX
11 3684-5645 -
34 E-MAIL
4010.moraes@bradesco.com.br
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OTHER PLACE FOR STOCKHOLDER SERVICE |
35 ITEM 36 MUNICIPALITY 37 FEDERAL (UNIT) 38 AREA CODE 39 PHONE No. 40 PHONE No.
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Page: 1
1 CVM CODE 2 NAME OF THE COMPANY 3 CNPJ (CORPORATE TAXPAYER NUMBER)
00417-0 COMPANHIA VALE DO RIO DOCE 33.592.510/0001-54
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01.04 DIRECTOR OF MARKET RELATIONS (Address for correspondence with the Company) |
Fábio de Oliveira Barbosa
2 FULL ADDRESS (STREET, No. AND COMPLEMENT) 3 QUARTER OR DISTRICT |
Avenida Graça Aranha, 26 18th floor Centro
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4 CEP (ZIP CODE) 5 MUNICIPALITY 6 FEDERAL UNIT |
20030-900 Rio de Janeiro RJ
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7 AREA CODE (DDD) 8 PHONE No. 9 PHONE No. 10 PHONE No. 11 TELEX |
12 AREA CODE (DDD) 13 FAX 14 FAX 15 FAX 16 E-MAIL |
21 3814-8820 fabio.barbosa@cvrd.com.br
|
17 BRAZILIAN DIRECTOR 18 TAX PAYER CARD 19 PASSPORT |
01.05 REFERENCE/AUDITOR |
1 LAST FISCAL YEAR START 2 LAST FISCAL YEAR END
01/01/2005 12/31/2005
3 CURRENT FISCAL YEAR START 4 CURRENT FISCAL YEAR END
01/01/2006 12/31/2006
5 AUDITORS NAME 6 CVM CODE
Deloitte Touche Tomatsu 00385-9
7 NAME OF PARTER 7 TAX PAYER CARD
Marcelo Cavalcanti Almeida 335.905.597-72
|
BVBAAL
BVMESB
BVPR
BVRJ
BVST
BVES
BVPP
BVRG |
1 STOCK EXCHANGE WHERE IT IS REGISTERED |
2 TRADING MARKET
Stock Exchange
3 SITUATION
Operational
4 ACTIVITY CODE
1030 MINERAL EXTRACT
|
5 MAIN ACTIVITY 6 PREFERRED SHARES COMPRISE CLASS
IRON ORE EXTRACT, DRESSING AND TRADE YES
|
Page: 2
1 CVM CODE 2 NAME OF THE COMPANY 3 CNPJ (CORPORATE TAXPAYER NUMBER)
00417-0 COMPANHIA VALE DO RIO DOCE 33.592.510/0001-54
|
3 SIMPLE DEBENTURES
2 REDEEMABLE SHARES
1 SHARES |
5 PARTICIPATION CERTIFICATES |
4 DEBENTURES CONVERTIBLE INTO SHARES |
2 SECURITIES ISSUED BY THE COMPANY |
01.08 PUBLICATION OF THE INFORMATIVE DOCUMENTS |
1 NOTICE TO
STOCKHOLDERS ABOUT THE
AVAILABILITY OF THE
FINANCIAL STATEMENTS |
(ARTICLE 133, LAW 2 MINUTES OF THE ORDINARY GENERAL MEETING
No. 6,404/76) WHICH APPROVED THE FINANCIAL STATEMENTS
03/24/2006 05/08/2006
|
3 CALL OF
ORDINARY GENERAL
MEETING FOR APPROVING
THE FINANCIAL
STATEMENTS 4 PUBLICATION OF THE FINANCIAL STATEMENTS
04/04/2006 04/04/2006
|
01.09 NEWSPAPERS IN WHICH THE COMPANY DIVULGES INFORMATION |
1 ITEM 2 TITLE 3 FEDERAL UNIT
|
01 Diário Oficial do RJ RJ
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02 Jornal do Commercio BR
|
03 Gazeta Mercantil BR
|
01.10 DIRECTOR OF MARKET RELATIONS |
Page: 3
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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1 -
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CVM CODE
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2 -
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NAME OF THE COMPANY
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3 -
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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02.01.01 PRESENT COMPOSITION OF THE BOARD OF DIRECTORS AND EXECUTIVE BOARD
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1 - |
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3 - TAXPAYER |
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4 - ELECTION |
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5 - TERM OF |
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6 - CODE |
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7 INDICATED BY |
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ITEM |
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2 - ADMINISTRATOR |
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CARD |
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DATE |
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OFFICE |
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(*) |
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THE OWNER |
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8- CODE |
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7 - TITLE |
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01
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Sérgio Ricardo Silva Rosa
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003.580.198-00
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04/16/2003
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OGM 2007
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2 |
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YES
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20 |
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Chairman |
02
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Mário da Silveira Teixeira Júnior
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113.119.598-15
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04/16/2003
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OGM 2007
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2 |
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YES
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21 |
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Vice-Chairman |
03
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Erik Persson
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148.409.280-53
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04/25/2001
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OGM 2007
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2 |
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YES
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22 |
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Member(Effective) |
04
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Jorge Luiz Pacheco
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345.466.007-63
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04/27/2005
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OGM 2007
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2 |
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YES
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22 |
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Member(Effective) |
05
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Arlindo Magno de Oliveira
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281.761.977-34
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04/16/2003
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OGM 2007
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2 |
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YES
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22 |
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Member(Effective) |
06
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Renato da Cruz Gomes
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426.961.277-00
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04/25/2001
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OGM 2007
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2 |
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YES
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22 |
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Member(Effective) |
07
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Hiroshi Tada
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999.999.999-99
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04/27/2005
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OGM 2007
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2 |
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YES
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22 |
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Member(Effective) |
08
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Oscar Augusto de Camargo Filho
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030.754.948-87
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09/24/2003
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OGM 2007
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2 |
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YES
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22 |
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Member(Effective) |
09
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Francisco Augusto da Costa e Silva
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092.297.957-04
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04/27/2005
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OGM 2007
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2 |
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NO
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22 |
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Member(Effective) |
10
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Eduardo Fernando Jardim Pinto
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226.158.813-53
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04/27/2005
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OGM 2007
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2 |
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NO
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22 |
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Member(Effective) |
12
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Luciano Siani Pires
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013.907.897-56
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06/23/2005
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OGM 2006
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2 |
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YES
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22 |
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Member(Effective) |
13
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Rômulo de Mello Dias
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604.722.787-20
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09/24/2003
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OGM 2007
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2 |
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YES
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23 |
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Member(substitute) |
14
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Jose Horta Mafra costa
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098.371.836-91
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04/27/2005
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OGM 2007
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2 |
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YES
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23 |
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Member(substitute) |
15
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Wanderlei Viçoso Fagundes
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043.341.757-91
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09/24/2003
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OGM 2007
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2 |
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YES
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23 |
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Member(substitute) |
16
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Hidehiro Takahashi
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949.725.917-49
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04/27/2005
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OGM 2007
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2 |
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YES
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23 |
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Member(substitute) |
17
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Rita de Cassia Paz Andrade Robles
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905.684.437-72
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04/27/2005
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OGM 2007
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2 |
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YES
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23 |
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Member(substitute) |
18
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José Mauro Guahyba de Almeida
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022.181.357-87
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04/27/2005
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OGM 2007
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2 |
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YES
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23 |
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Member(substitute) |
19
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Sérgio Ricardo Lopes de Farias
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799.861.537-00
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04/27/2005
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OGM 2007
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2 |
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YES
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23 |
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Member(substitute) |
20
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Gerardo Xavier Santiago
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603.267.947-00
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04/16/2003
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OGM 2007
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2 |
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YES
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23 |
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Member(substitute) |
22
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João Moisés de Oliveira
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090.620.258-20
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09/24/2003
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OGM 2007
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2 |
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YES
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23 |
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Member(substitute) |
23
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Roger Agnelli
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007.372.548-07
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07/18/2001
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05/25/2005
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1 |
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10 |
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Chief Executive Officer |
Page: 4
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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1 -
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CVM CODE
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2 -
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NAME OF THE COMPANY
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3 -
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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24 |
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Fábio de Oliveira Barbosa |
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359.558.996-34 |
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05/15/2002 |
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05/25/2007 |
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1 |
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19 |
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Chief Financial Officer |
25 |
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José Carlos Martins |
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304.880.288-68 |
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04/22/2004 |
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05/25/2007 |
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1 |
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19 |
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Executive Officer for Ferrous |
26 |
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Gabriel Stoliar |
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402.763.927-87 |
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10/24/2001 |
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05/25/2007 |
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1 |
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19 |
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Executive Officer for Planning and Control |
27 |
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Murilo Pinto de Oliveira Ferreira |
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212.466.706-82 |
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04/20/2005 |
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05/25/2007 |
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1 |
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19 |
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Executive Officer for Holdings, Energy and Businesses Development |
28 |
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José Auto Lancaster Oliveira |
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312.786.717-49 |
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09/30/2004 |
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05/25/2007 |
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1 |
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19 |
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Executive Officer for Non-Ferrous Minerals |
29 |
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Guilherme Rodolfo Laager |
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606.451.997-53 |
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09/19/2001 |
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05/25/2007 |
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1 |
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19 |
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Executive Officer for Logistics |
30 |
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Carla Grasso |
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313.335.241-53 |
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10/24/2001 |
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05/25/2007 |
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1 |
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19 |
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Executive Officer of Human Resources and Corporate Services |
31 |
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Tito Botelho Martins |
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501.888.956-04 |
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04/20/2006 |
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05/25/2007 |
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1 |
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19 |
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Executive Officer of Corporate Services Issues |
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(*) Code: OGM Ordinary General Meeting / BDM Board Of Directors Meeting / EGM Extraordinary General Meeting |
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1 Belongs only to the executive board / 2 Belongs only to the board of directors / 3 Belongs to the both the board of directors and executive board. |
Page: 5
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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1 -
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CVM CODE
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2 -
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NAME OF THE COMPANY
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3 -
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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02.01.02 PRESENT COMPOSITION OF THE FISCAL COUNCIL
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1-
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FISCAL COUNCIL INSTALADO
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2-
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PERMANENTE |
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YES
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NO |
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3 ITEM |
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4 NAME OF MEMBER |
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5 TAXPAYER CARD |
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6 - ELECTION DATE |
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7 - TERM OF OFFICE |
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8 - CODE |
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9 TITLE |
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01
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Aníbal Moreira dos Santos
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011.504.567-87
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07/19/2005
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OGM 2007
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43 |
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Member of Fiscal Council(effective) elect by maiority common stockholders |
02
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Marcelo Amaral Moraes
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929.390.077-72
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04/28/2004
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OGM 2007
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43 |
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Member of Fiscal Council(effective) elect by maiority common stockholders |
03
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Oswaldo Mário Pêgo de Amorim Azevedo
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005.065.327-04
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07/19/2005
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OGM 2007
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46 |
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Member of Fiscal Council(substitute) elect by the maiority common
stockholders |
04
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Marcos Coimbra
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005.596.447-87
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04/27/2006
|
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OGM 2007
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46 |
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Member of Fiscal Council(substitute) elect by the maiority common
stockholders |
05
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José Bernardo de Medeiros Neto
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005.573.740-49
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04/27/2005
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OGM 2007
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43 |
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Member of Fiscal Council(effective) elect by maiority common stockholders |
06
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Bernard Appy
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022.743.238-01
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04/27/2006
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OGM 2007
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43 |
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Member of Fiscal Council(effective) elect by preferred stockholders |
07
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Tarcísio José Massote de Godoy
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316.688.601-04
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08/18/2004
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OGM 2007
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47 |
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Member of Fiscal Council(substitute) elect by preferred stockholders |
Page: 6
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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1 -
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CVM CODE
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2 -
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NAME OF THE COMPANY
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3 -
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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02.02 PROFESSIONAL EXPERIENCE AND ACADEMIC BACKGROUND OF EACH BOARD MEMBER AND EXECUTIVE OFFICER
SÉRGIO RICARDO SILVA ROSA. Born on 06/23/1959, enrolled with the CPF under nº 003.580.198-00, has a degree
in Communication/Journalism from São Paulo University, Mr. Rosa has been a member of the Board of Directors
since April 2003, and his mandate extends to the 2007 Annual Shareholders´ Meeting. He was nominated
Chairman of the Board of Directors in May 2003. Mr. Rosa is currently Chief Executive Officer of Caixa de
Previdência dos Funcionários do Banco do Brasil -Previ, a position he has held since 2000. He is also
director of Valepar S.A. (Valepar), Brasil Telecom Participações, since December 2000, and Sauípe S.A.,
since May 2001, Chairman of the Board of Directors of Litel Participações S.A. (Litel). Before joining
Previ, Mr. Rosa acted as the President of the National Confederation of Bank Workers from June 1994 to May
2000. From January 1995 to December 1996, Mr. Rosa was an alderman of the municipality of São Paulo. The
shareholder VALEPAR S.A nominated him.
MÁRIO DA SILVEIRA TEIXEIRA JÚNIOR. Born on 03/04/1946, enrolled with the CPF under nº 113.119.598-15,
graduated in Civil Engineering and Business Administration from the Mackenzie Presbyterian University
Mackenzie University São Paulo. Mr. Teixeira has been the Vice-Chairman of the Board of Directors of
Companhia Vale do Rio Doce (CVRD) since May 2003, with a mandate that lasts up to the 2007 Annual
Shareholders Meeting. Mario da Silveira Teixeira Junior, Director: 59 years old. Mr. Teixeira received a
degree in civil engineering and business administration from. In July 1971, Mr. Teixeira joined Bradesco S.A
Corretora de Títulos e Valores Mobiliários, having served as an officer from March 1983 until January 1984,
when he was transferred to Banco Bradesco de Investimento S.A. and Banco Bradesco S.A.. He was appointed as
our Departmental Director in January 1984; Managing Officer in March 1992; Vice-President in March 1998, and
from March 1999 to July 2001 he served as a member of our Board of Directors. From July 2001 until March
2002, Mr. Teixeira served as the CEO of Bradespar S.A., a company incorporated by our partial spin off. In
March 2002, he returned to his position as a member of our Board of Directors, where he remains until today.
Currently, he is also Director of Bradesco Leasing S.A. Arrendamento Mercantil and of Bradespar S.A. and
member of the Board of Trustees and Managing Officer of Fundação Bradesco, Director and Managing Officer of
the Institute of Diseases of the Digestive System (FIMADEN). In addition, he holds positions as Director of
Valepar S.A., non-voting member of the Managing Board of Banco Espírito Santo de Investimentos S.A., located
in Lisbon, Portugal, and Vice-chairman of the Board of Directors of BES Investimento do Brasil S.A. Banco
de Investimento. He also served as Vice-President of ANBID Associação Nacional dos Bancos de Investimento,
member of the Management Board of ABRASCA Associação Brasileira das Companhias Abertas, Director of
Companhia Paulista de Força e Luz CPFL, Companhia Piratininga de Força e Luz, Companhia Siderúrgica
Nacional CSN, CPFL Energia S.A., CPFL Geração de Energia S.A., Latasa S.A., São Paulo Alpargatas S.A,
Tigre S.A. Tubos e Conexões, VBC Energia S.A. and VBC Participações S.A.. Nominated by the shareholder
VALEPAR S.A.
ERIK PERSSON. Born on 11/03/1954, enrolled with the CPF under nº 148.409.280-53, Mr. Persson has a degree in
Economics from the Federal University of Rio Grande do Sul (UFRGS). He has been a member of the Board of
Directors since April 2001, and his mandate extends to the 2007 Annual Shareholders Meeting. Mr. Persson
was a Planning Officer at Previ from June 2000 to May 2003, and has been serving as a Pension Officer since
June 2003, and has worked in Banco do Brasil S.A. since 1977. Mr. Persson also has been a director of
Valepar and Previ since April 2001. He has held the positions of Union Training Officer and the Union
Organization SEEB Officer and Legal Issue Officer and FEEB Press and Communication Officer, both in Rio
Grande do Sul, since 1990. Nominated by the shareholder VALEPAR S.A.
Page: 7
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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02.02
PROFESSIONAL EXPERIENCE AND ACADEMIC BACKGROUND OF EACH BOARD
MEMBER AND EXECUTIVE OFFICER
JORGE LUIZ PACHECO. Born on 10/23/1954, enrolled with the CPF under nº 345.466.007-63, o Mr. Pacheco is a
full member of the Board of Directors, whose mandate extends to the 2007 Annual Shareholders Meeting. He
has held the position of alternate member of the Board of Directors of CVRD since 2002. In 1973, Mr.
Pacheco joined Banco do Brasil S.A., where he worked in the Corporate area and in Capital Market Management.
Since December 2000, he has worked in PREVI (The Social Insurance Fund of Employees of Banco do Brasil),
where he acted as the Manager of strategic investments , responsible for monitoring investments in the Vale
do Rio Doce Company. Mr. Pacheco is a member of the Board of Directors of Valepar S.A. and of Litel
Participações S.A. In addition, he has held a position in the Fiscal Council of the Companhia Siderurgica
Belgo-Mineira. He has a degree in Economics from the Economic Sciences Faculty (FCPE) of Cândido Mendes/RJ,
has an Executive MBA in Finance from IBMEC/RJ, an Executive MBA in Business Administration from IBMEC/RJ and
a post-graduation course in Corporate Governance from IBMEC/RJ. Nominated by the shareholder Valepar.
ARLINDO MAGNO DE OLIVEIRA. Born on 07/16/1951, enrolled with the CPF under nº 281.761.977-34, has a degree
in Economics from the Universidade Federal Fluminense (UFF) and a post-graduation degree in Finance from
IBMEC (Instituto Brasileiro de Mercado de Capitais the Brazilian Capital Market Institute) in RJ. Mr.
Oliveira has been a member of the Board of Directors since April 2003, and his mandate extends to the 2007
Annual Shareholders Meeting 2007. From August 1974 to August 2001, Mr. Oliveira worked in Banco do Brasil
S.A., where amongst other positions he was International Area Customers Service Manager and Public Sector
Customer Service Manager. He has also worked in PREVI since May 1974, where amongst other positions he was a
member of the Fiscal Council, Officer for Deliberations and Executive Officer of Planning. From April to
September 2002, Mr Oliveira was the Executive Officer in charge of finance and management at CEDAE
Companhia Estadual de Água e Esgoto. Currently, he is a member of the Deliberative Body of PREVI. . He has
also been a member of the Board of Directors in several companies, including the Bahia State Electricity
Company (Companhia de Eletricidade do Estado da Bahia COELBA), the Rio Grande do Norte Energy Company
(Companhia Energética do Rio Grande do Norte COSERN), CPFL Energia S.A., CPFL Geração de Energia S.A. and
ENERCAN Campos Novos Energia S.A.. Nominated by the shareholder VALEPAR S.A.
RENATO DA CRUZ GOMES. Born on 02/23/1953, enrolled with the CPF under nº 426.961.277-00, has a degree in
Production Engineering from the Federal University of Rio de Janeiro (UFRJ), with a specialization degree
from the Executive Management Development Program (SDE). Mr. Gomes has been a member of the Board of
Directors since April 2001, and his mandate extends to the 2007 Annual Shareholders Meeting. He is also
Executive Officer of Bradespar S.A. since 2000. From 1976 to 2000, Mr. Gomes held various positions in
BNDES and for the last 15 years has been a member of the Board of Directors of several companies, such as
Aracruz, Iochpe Maxion, Bahia Sul, Globo Cabo and Latasa. He was also a member of the Advisory Council of
Fator Sinergia (Fundo de Investimento de Valores Mobiliários em Ações Share Investment Fund), and a member
of the investment committee of the Bradesco Templeton Value and Liquidity Fund. Mr. Gomes is an Alternate
Member of the Board of Directors and Executive Officer of Valepar, the latter since April 2001. Nominated
by the shareholder VALEPAR S.A.
HIROSHI TADA. Born on 03/03/1945, with Passport number TG1817655, Mr. Tada has a degree in Mining
Engineering from Kyoto University, Japan, and an Advanced Management Masters degree from Harvard. Mr. Tada
has been a member of the Board of Directors since April 2005, with a mandate that lasts until the 2007
Annual Shareholders Meeting. Mr. Tada is currently Executive Vice-President of Mitsui & Co. Ltd. He has
also held various positions in Mitsui & Co., Ltd, which he joined in 1968. Nominated by the shareholder
VALEPAR S.A.
Page: 8
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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02.02 PROFESSIONAL EXPERIENCE AND ACADEMIC BACKGROUND OF EACH BOARD MEMBER AND EXECUTIVE OFFICER
OSCAR AUGUSTO DE CAMARGO FILHO. Born on 03/09/1938, enrolled with the CPF under nº 030.754.948-87, has a
degree in Law from the Faculty of São Paulo University, Mr. Camargo Filho has been a member of the Board of
Directors since October 2003, and his mandate extends to the 2007 Annual Shareholders Meeting. Mr.
Camargo Filho is currently a partner in CWA Consultoria Empresarial. From 1999 to 2003, he was Chairman of
the Board of Directors of MRS Logística S.A.. From 1973 to 2003, he held various positions in the Caemi
Group, including Chairman and member of the Board of Directors. From 1963 to 1973 he held various positions
in Motores Perkins S.A., including Commercial Officer and Manager of Sales and Service. Nominated by the
shareholder VALEPAR S.A.
FRANCISCO AUGUSTO DA COSTA E SILVA. Born on 09/06/1948, enrolled with the CPF under nº 092.297.957-04, Mr.
Costa e Silva has been a member of the Board of Directors since April 2005, and his mandate extends to the
2007 Annual Shareholders Meeting. Mr. Costa e Silva studied Law in the Guanabara State University, now the
University of the State of Rio de Janeiro (UERJ) and has an Executive MBA from COPPEAD in the Federal
University of Rio de Janeiro (UFRJ). Currently Mr. Costa e Silva is a partner in the law firm Bocater,
Camargo, Costa e Silva Advogados Associados, with head office in the city of Rio de Janeiro, as well as a
member of the Board of Directors of Banco do Brasil S.A., and the Ethics Committee of the Association of
Analysts and Professionals of Capital Markets (APIMEC) and the Development Council of the Pontifical
Catholic University of Rio de Janeiro (PUC/RJ). Mr. Costa e Silva started his professional career in the
National Social and Economic Development Bank (BNDES), where he has held various positions, including
Executive-Officer of BNDES. He has also been on the Board of Directors of various institutions, such as
Solpart Participações S.A., Aracruz Celulose S.A., Pisa Papel de Imprensa S.A., as well as the Board of
Directors of the Social Insurance and Assistance Foundation of BNDES (FAPES) and the Rio de Janeiro Stock
Exchange (BVRJ). Mr. Costa e Silva was Officer and also the President of the Brazilian Securities Commission
(CVM). He was a member of the Currency and Credit Commission (COMOC) and of the Complementary Social
Insurance Management Council. He presided the Council of Securities Regulators of the Americas (COSRA) and
was a member of the Executive Committee of the International Organization of Securities Commissions
(IOSCO), both international organizations that bring together securities commissions from various countries
in the world. Nominated by the shareholder VALEPAR S.A.
EDUARDO FERNANDO JARDIM PINTO. Born on 02/24/1963, enrolled with the CPF under nº 226.158.813-53, Mr. Jardim
Pinto has been a member of the Board of Directors since April 2005, and his mandate extends to the 2007
Annual Shareholders Meeting. Mr. Jardim Pinto is a technician in electronics trained by CEFET Rio de
Janeiro, is currently studying Law in São Luiz Faculty. Mr. Jardim Pinto has been employed by CVRD since
1983, and currently occupies the position of specialized machinist, as well as being President of the Union
STEFEM, in the State of Maranhão. Nominated by the employees of CVRD.
LUCIANO SIANI PIRES. Born on 02/10/1970, enrolled with the CPF under nº 013.907.897-56, Mr. Pires has a B.A.
degree in Mechanical Engineering from Pontifícia Universidade Católica do Rio de Janeiro PUC-RJ and MBA in
Finance from Stern School of Business New York University. He was nominated as member of the Board of
Directors on April 2006, and his appointment will be confirmed by the shareholders in the first
shareholders meeting to take place after the annual shareholders meeting, held on April 27, 2006. Since
June 2005, Mr. Pires has held the position of alternate member of the Board of Directors. From 2003 to 2005,
was McKinsey consultant and is currently Head of the Securities Portfolio Management and Monitoring
Department of BNDES. Mr. Pìres is also director of Suzano Bahia Sul Papel e Celulose S.A. and of Tele Norte
Leste Participações S.A. He was nominated by the shareholder VALEPAR S.A.
Page: 9
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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02.02 PROFESSIONAL EXPERIENCE AND ACADEMIC BACKGROUND OF EACH BOARD MEMBER AND EXECUTIVE OFFICER
RÔMULO DE MELLO DIAS. Born on 09/27/1961, enrolled with the CPF under nº 604.722.787-20. He has an MBA from
IBMEC, and a post-graduation degree from the SDE in the Executive Managerial Development Program and from
FGV Law in Company Law. Mr. Dias has been an alternate member of the Board of Directors since September
2003, and his mandate extends to the 2007 Annual Shareholders Meeting. Mr. Dias is an Executive Officer of
Bradespar S.A. and is a member of the Board of Directors of Visanet, Visa Vale and CPM. In 1999 he was a
partner in Mercosur Equity Fund from Albion Alliance Capital Management. From 1995 to 1999, he worked in
Citibank, where he was Corporate Finance Officer and Investment Officer. Previously he worked in PREVI
where he was General Manager of Capitals Markets. He was the Regional Manager of Corporate Finance of Banco
Nacional and Head Analyst of Banco do Brasil Investimentos. He was member of the Board of Directors in
several companies, including Escelsa, Americel, Telet, Iven, Enersul e Net Serviços Nominated by the
shareholder VALEPAR S.A.
JOSÉ HORTA MAFRA COSTA. Born on 04/18/1947, enrolled with CPF under nº 098.371.836-91, Mr. Costa has been an
alternate member of the Board of Directors since April 2005, and his mandate extends to the 2007 Annual
Shareholders Meeting. Mr. Costa went to secondary school in Frei Orlando College in Belo Horizonte. He has
been employed by CVRD since 2001, and currently holds the position of Materials Assistant I. Furthermore, he
has worked in the Tratex and Andrade Gutierrez construction companies, as well as the Samitri mining
company, where he was Head of Team Control and Physical Depot Control. In 1982, Mr. Costa was elected for
his mandate as Officer of Trade Union of Workers in the Iron and Basic Metals Industries in Mariana, Santa
Bárbara, Barão de Cocais, São Gonçalo do Rio Abaixo and Rio Piracicaba. In 1991, he was elected President of
the union, a position he still holds. Nominated by the employees of CVRD.
WANDERLEI VIÇOSO FAGUNDES. Born on 05/05/1946, enrolled with the CPF under nº 043.341.757-91. Mr. Fagundes
has a degree in Economics from the State University of Rio de Janeiro (UERJ) and an Accounting Technicians
Course from the Getúlio Vargas Foundation. He did a post-graduate course in the Business Management Program
of Columbia University, USA and in the Advanced Management Program of Insead, France. Mr. Fagundes has been
an alternate member of the Board of Directors since September 2003, and his mandate extends to the 2007
Annual Shareholders Meeting. Currently, Mr. Fagundes is a business consultant, a partner in CWH Consultoria
Empresarial. From 1994 to 2003, he was President of SINFERBASE (the Union of the Iron Ore and Basic Metal
Mining Industry). He has worked in various areas in companies in the Caemi Group, where in 1984 he assumed
the position of Officer of Control of Minerações Brasileiras Reunidas S.A. (MBR), to which he later added
the position of Financial Officer. In 1990 he became an officer of the Caemi Group in 1990, assuming the
presidency of Caemi in 2000. He was Financial and Investor Relations Officer of Caemi from 2001 to 2003. He
was a member of the Board of Directors of the companies in which Caemi holds capital, as follows: Minerações
Brasileiras Reunidas S.A. (MBR), Cadam S.A., MRS Logística S.A. and Quebec Cartier Mining Co. Nominated by
the shareholder VALEPAR S.A.
HIDEHIRO TAKAHASHI. Born on 02/03/1956, enrolled with the CPF under nº 949.725.917-49, Mr. Takahashi has a
degree in Political Science and Economics from Waseda University. Mr. Takahashi has been an alternate member
of Board of Directors since April 2005, with a mandate that extends to the 2007 Annual Shareholders
Meeting. Currently, Mr. Takahashi is the Executive Vice-President of Mitsui Brasileira Importação e
Exportação S.A., where he has worked in the Metallic Raw Materials and Iron Ore departments. He joined
Mitsui & Co., Ltd. in 1980, where he has held position of, amongst others, General Department Manager of the
Iron Ore Division. Nominated by the shareholder VALEPAR S.A.
Page: 10
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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02.02 PROFESSIONAL EXPERIENCE AND ACADEMIC BACKGROUND OF EACH BOARD MEMBER AND EXECUTIVE OFFICER
RITA DE CÁSSIA PAZ ANDRADE ROBLES. Born on 01/03/1967, enrolled with the CPF under nº 905.684.437-72, Ms.
Robles has a master degree in International Relations from the Pontifical Catholic University of Rio de
Janeiro (PUC-RJ), is an Economist and has a post-graduation degree in Finance from IBMEC-RJ. Mrs. Robles has
been an alternate member of the Board of Directors since 2005, and her mandate extends to the 2007 Annual
Shareholders Meeting. Ms. Robles is the Manager of Benefit and Earnings Payment Administration of PREVI (
Caixa de Previdência dos Funcionários do Banco do Brasil Previ. She worked in the area of Investment
Planning in Previ from 1999 to 2004 as a Senior Technician. She was assigned by the Banco do Brasil to the
Ministry of Economy, Finance and Planning between 1989 and 1992, when she worked in Cacex and in Planning
Assistance and from 1993 to 1999, in the Ministry of Industry, Commerce and Tourism. Nominated by the
shareholder VALEPAR S/A.
JOSÉ MAURO GUAHYBA DE ALMEIDA. Born on 03/14/1945, enrolled with the CPF under nº 022.181.357-87, Mr.
Guahyba has a degree in Law from the Federal University of Rio de Janeiro and an Executive MBA from Banco do
Brasil in Administration through USP-SP. Mr. Guahyba has been an alternate member of Board of Directors
since April 2005, and his mandate extends to the 2007 Annual Shareholders Meeting. In 1964, Mr. Guahyba
joined Banco do Brasil S.A., and has held the positions of Chief Coordinator of International Capital
Holdings, Chief of Staff of the International Vice President and Assistant Manager and Acting Manager in the
Brussels Branch and General Manager of the Cinelândia Branch (RJ), and retired in 1994. He represented Banco
do Brasil abroad in banks in France and Panama. He represented PREVI in the Board of Directors of the
Companhia Siderúrgica Nacional, as an alternate, from 1995 to 1997, in SAMITRI S.A. Mineração da Trindade,
as a full member from 1995 to 2001 and in the Belgo-Mineira Steel Company, as a full member from 2001 to
2005. Nominated by the Shareholder VALEPAR S.A.
SERGIO RICARDO LOPES DE FARIAS. Born on 10/09/1964, enrolled with the CPF under nº 799.861.537-00, Mr.
Farias has a degree in Education from Rio de Janeiro University, a post-graduate degree in University Staff
Training from Rio de Janeiro University and an MBA in Social Responsibility and the Third Sector from the
Institute of Economics of UFRJ. Mr. Farias has been an alternate member of the Board of Directors since
April 2005, with a mandate that extends to the 2007 Annual Shareholders Meeting. Mr. Farias has been a
member of the Audit Committee of PREVI (2000-2002), a member of the Audit Committee of INVEPAR (2001-2004)
and a full member of the Audit Committee of VCP (2003-2004). In 1979, Mr. Farias joined Banco do Brasil
S.A., as a junior trainee and has been a permanent member of the administrative staff of the Bank since
1983. Mr. Farias is the Officer of Administration and Assets of the Federation of Bank Workers of Rio de
Janeiro and Espírito Santo, a member of the Deliberative Board of the National Association of Participants
in Pension Funds, a member of the Council of Users of the Assistance Fund for Banco do Brasil Employees and
a member of the Company Commission of Banco do Brasil Employees. Nominated by the shareholder VALEPAR S/A.
GERADO XAVIER SANTIAGO. Born on 02/10/1960, enrolled with the CPF under nº 603.267.947-00, currently, Mr.
Santiago is completing a degree in Law in Estácio de Sá University. He has done a course in Corporate
Governance by the IBMEC. Mr. Santiago has been an alternate member of the Board of Directors since April
2003, and his mandate extends to the 2007 Annual Shareholders Meeting. Mr. Santiago joined PREVI Caixa de
Previdência dos Funcionários do Banco do Brasil Previ in 2000, where he has held the positions of
Assistant to the Executive Board, Manager of Investment Policies and, since June 2004 has been Manager of
Strategic Planning. Previously he was Executive Officer of CNB/CUT and held various positions in Banco do
Brasil S.A., from 1981 to 1994. Nominated by the shareholder VALEPAR S.A.
Page: 11
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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02.02 PROFESSIONAL EXPERIENCE AND ACADEMIC BACKGROUND OF EACH BOARD MEMBER AND EXECUTIVE OFFICER
JOÃO MOISÉS DE OLIVEIRA. Born on 03/06/1945, enrolled with the CPF under nº 090.620.258-20, Mr. Oliveira has
a degree in Economics, from the Faculty of Economics, Accounting and Actuarial Studies of the Pontifical
Catholic University. Mr. Oliveira has been an alternate member of the Board of Directors of CVRD since April
2005, and his mandate extends to the 2007 Annual Shareholders Meeting. He has already held the positions of
member and alternate member of CVRD. He joined Banco Bradesco S.A. in 1962, where he has held various
positions, such as Manager/Head of Department from 1982 to 1983 and Department Officer from 1992 to 2000.
From 1983 to 1992 he was Officer of Bradesco Previdência e Seguros S.A. In 1984 he also assumed the position
of Officer of Bradesco S.A. Corretora de Títulos e Valores Mobiliários, where in 1985 he was nominated Chief
Executive Officer, a position he held until 1992. He has been Chief Executive Officer of Bradespar S.A. and
Bradesplan Participações S.A. He was a member of the Board of Directors of the following companies: COFAP
(Companhia Fabricadora de Peças), Companhia Siderúrgica Belgo Mineira, Companhia Siderúrgica Nacional,
Indústria Romi S.A., Metal Leve S.A. Indústria e Comércio, São Paulo Alpargatas S.A., Telecelular Sul
Participações S.A. Tigre S.A. Tubos e Conexões, etc.. Nominated by the shareholder VALEPAR S.A.
ROGER AGNELLI. Born on 05/03/1959, enrolled with the CPF/MF under No. 007.372.548-07, Mr. Agnelli is an
economics graduated by Armando Álvares Penteado Foundation FAAP, São Paulo. Roger Agnelli was appointed
CEO and President of Companhia Vale do Rio Doce (CVRD) in July 2001. Prior to his appointment, he was the
Chairman of the Board of Directors of CVRD from May 2000 until July 2001. Mr. Agnelli developed his
professional career at the Bradesco financial group from 1981 to 2001, where he reached the position of
executive director of Bank Bradesco in 1998, remaining in that office until the year 2000; he also was
President and CEO of Bradespar from March 2000 to July 2001. Due to his activities in the areas of
investment, mergers and acquisitions, and asset management, he was a member of the board of directors of
several major companies in Brazil, such as Companhia Paulista de Força e Luz, Companhia Siderúrgica
Nacional, Latas de AlumínioLATASA, VBC Energia, Brasmotor, Mahle Metal Leve, Rio Grande Energia, and Serra
da Mesa Energia. Mr Agnelli was also a director of UGB Participações and Vice-President of ANBID Brazils
National Association of Investment Banks. He is a member of the Economic and Social Development Council
(CDES), an advisory body to the President of Brazil, and a member of the International Investments Council,
formed to advise the President of South Africa, Dr.Thabo Mbeki. Mr Agnelli is the chairman of the
China-Brazil Business Council, member of the board of trustees of the Brazilian Symphonic Orchestra,
Vice-President of the Centro Industrial do Rio de Janeiro, member of the consultant board of the private
sector of Câmara de Comércio Exterior CONEX, and member of the board of directors of Asea BrownBoveri
(ABB), of Duke Energy Corporation, of Suzano Petroquímica and of PETROBRAS. He recently became a
member of the International Advisory Committee of the New York Stock Exchange (NYSE), and was invited to
join the International Advisory Council of Brookings Institution.
FABIO DE OLIVEIRA BARBOSA. Born on 12/31/1960, enrolled with the CPF/MF under No. 359.558.996-34, Mr.
Barbosa is an economics graduated by the Federal University of Minas Gerais, with a Masters Degree in
Economic Theory by the University of Brasília (UnB). He was elected Chief Financial Officer of CVRD in May
2002, with a term of office up to May 2007.Until May 2006, he was Chairman of the Board of Directors of
Caemi. From April 2000 to March 2002, he held the position of member of the CVRD Board of Directors.
Previously, he had been Chairman of the Board of Directors of Banco do Estado de São Paulo (BANESPA) and
also served as board member of the following companies: Banco do Brasil S.A., Caixa Economica Federal,
Companhia Siderúrgica de Tubarão and Telesp S/A- Telecomunicações de São Paulo. He was Secretary of the
National Treasury at the Ministry of Finance, between July 1999 and April 2002, after having acted as
Assistant Secretary of STN in charge of federal public debt administration from 1995 to 1999. From 1992 to
1995 he served as Adviser to the Executive Board of the World Bank, in Washington-DC, United States. From
1990 to 1992 he was Deputy and Head of the Fiscal Policy Unit at the Ministry of Economy and Finance. From
1988 to 1990, he was Economic Advisor and Head of the Macroeconomic Analysis Unit, at the Department of
Economic and Social Planning of the Ministry of Planning. Prior to that time, Mr. Barbosa held several
positions at IPEA (Ministry of Planning), Ministry of Industry and Commerce, Paraná State Development
Institute, the Ministry of Labor and the Ministry of Applied Economy Research.
Page: 12
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
02.02 PROFESSIONAL EXPERIENCE AND ACADEMIC BACKGROUND OF EACH BOARD MEMBER AND EXECUTIVE OFFICER
JOSÉ CARLOS MARTINS Born on 02/05/1950, enrolled with the CPF/MF under No. 304.880.288-68. Mr. Martins has
a B.A. degree in Economics from Pontifícia Universidade Católica de São Paulo (PUC SP).In April 2004, Mr.
Martins was originally appointed as CVRDs Executive Officer of holdings, energy and business development
and, in April 2005, Mr. Martins was appointed as an Executive Officer of our ferrous minerals division, with
a term of office up to May 2005. Mr. Martins has over 30 years of experience in metal industry. He was an
Officer and President of Aços Villares from 1986 to 1996, and Chief Managing Officer of the Steel area at
Companhia Siderúrgica Nacional , from 1997 to 1999. In 1999, Mr. Martins became President of Latasa, one of
the largest aluminum can producers in Latin America. Upon the purchased of Latasa by Rexam, a United Kingdom
company, in 2003, Mr. Martins became President and Chief Executive Officer of Rexams South American
beverage can division, Rexame Beverage Can South America.
GABRIEL STOLIAR. Born on 03/18/1954, enrolled with the CPF/MF under No. 402.763.927-87, Mr. Stoliar
obtained a Production Engineering degree from the Federal University of Rio de Janeiro (UFRJ), a
post-graduate degree in Production Engineering-industrial and transportation project area (PIT)-COPPEAD/UFRJ
and an MBA/Executive-PDG/EXEC in Rio de Janeiro. Since October 2001, Mr.Stoliar was appointed as the Chief
Planning and Control Officer of CVRD, position with term of office up to May 2005.. In September 1997, Mr.
Stoliar was originally elected Executive Officer of the Corporate Center and Investor Relations. In 1994, he
was appointed director of BNDESPAR. He is also Director of Usiminas and Pará Pigmentos S.A. In 1991, he took
over the position of Superintendent of Operating Division, responsible for the areas of Mining, Metallurgy,
Chemicals, Petrochemical, Pulp and Paper of BNDESPAR. In 1988, he was appointed by BNDESPAR as Manager of
Operations in the Capital, Electronics and Consumer Goods. In 1982, he was promoted to Manager of BNDES for
the Project Area of FINSOCIAL. In 1978, he joined BNDES as Analyst in the area of Pulp, Paper and
Petrochemicals. He started his career as a business organization analyst
at the Institute of Economic and
Management Development of Firjan Federation of Industries of Rio de Janeiro.
MURILO PINTO DE OLIVEIRA FERREIRA. Born on 06/22/1953, enrolled with the CPF/MF under No. 212.466.706-82,
Mr. Ferreira has a Business Administration degree from Getúlio Vargas Foundation of São Paulo (FGV SP) and
Business Administration post-graduate degree from Getúlio and has conducted post-graduate studies in several
institutions in Brazil and abroad. He was appointed as an Executive Officer of Holdings, Energy and
Businesses Development of CVRD, in April 2005, with a term of office up to May 2007. He joined CVRD in
1977 and has a large experience in several areas of the Company, particularly in aluminum and ferroalloys.
In 1998, he was appointed executive officer of Commerce and Finance at Vale do Rio Doce Alumínio S.A.
Aluvale, which was incorporated by CVRD in December 2003. From 2004 up to April 2005 he held the position of
CVRDs Aluminum Department Officer. He is Chief Executive Officer of Albras Alumínio Brasileiro S.A. and
Alunorte Alumina do Norte do Brasil S.A., position occupied until March 2005, when he was elected Chairman
of the Board of Directors. He is, still, member of the Board of Directors of Mining of Rio do Norte S.A.
(MRN) and Valesul Alumínio S.A.
JOSÉ AUTO LANCASTER OLIVEIRA. Born on 03/26/1947, enrolled with the CPF under No. 312.786.717-49, Mr.
Oliveira is a Geologist graduate by the Federal University of Minas Gerais and has a Ph. D degree in
Economic Geology by Mackay School of Mines, from the University of Nevada, Reno, United States of America.
He was appointed as an Executive Officer of the Non-Ferrous Mineral Division in September 2004 to fulfill a
term of office up to May 2007. Prior to that, he was exploration manager of the Brazilian branch of British
Petroleum in the period from 1985 to 1989. He is Officer of Compañia Minera Andino Brasileira Ltd.,
Compañia Minera Latino Americana Ltda., Tethys Mining LLC and Vale do Rio Doce Kaolin S.A., and also a
member of the Board of Directors of Canico Resources Corp.
Page: 13
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
02.02 PROFESSIONAL EXPERIENCE AND ACADEMIC BACKGROUND OF EACH BOARD MEMBER AND EXECUTIVE OFFICER
GUILHERME RODOLFO LAAGER. Born on 02/13/1957, enrolled with the CPF/MF under No. 606.451.997-53, Mr. Laager
has a B.S. degree in civil engineering from the Federal University of Rio de Janeiro (UFRJ), and obtained an
MBA from COPPEAD also at UFRJ. Mr. Laager was appointed as an Executive Officer of the Logistics Division
in September 2001, with a term of office up to May 2007. He was Logistics, Procurement and Technology
Information Director for Ambev Companhia de Bebidas das Américas, from 1989 to August 2000. From 1982 to
1988, Mr. Laager worked for Andersen Consulting and, from 1979 to 1981, for IESA International de Engenharia
S.A.
CARLA GRASSO. Born on 02/03/1962, enrolled with the CPF/MF under No. 313.335.241-53, Mrs. Grasso has both a
B.A. and a M.A. degree in Economics from the University of Brasília (UnB). Mrs. Grasso was appointed
Executive Officer of the Human Resources and Corporate Services Area of CVRD, in October 2001, with a term
of office up to May 2007. Mrs. Grasso had already acted as CVRDs personal management and IT Officer to
CVRDs Corporate Center, from December 1997 to October 2001. Before joining CVRD, Mrs. Grasso acted as
secretary of the Brazilian Supplementary social security office. From January 1994 to November 1997, as
advisor to the Ministry of Social Security, from December 1992 to December 1993, as deputy coordinator of
fiscal policy at the Ministry of Finance, from October to December 1992; as finance advisor and coordinator
of the Macroeconomics and Social areas of the Brazilian Presidency Office, from March 1990 to October 1992,
as advisor to the Minister of Planning, from November 1988 to March 1990; and as advisor to the Presidency
of Sebrae Serviço Brasileiro de Apoio a Pequena e Media Empresa, from January to November 1988. In 1997,
she was appointed an Executive Officer of Fundação Vale do Rio Doce de Habitação e Desenvolvimento Social
(FVRD).
TITO BOTELHO MARTINS JÚNIOR. Born on September 24, 1962, CPF/MF under nº 501.888.956-04. Mr. Martins was
appointed as an executive officer of the corporate affairs area in April 2006. Mr. Martins has a graduate
degree in economics from the Universidade Federal de Minas Gerais (UFMG), masters in Administration from
IEAD/UFRJ and has conducted post-graduate studies in several institutions in Brazil and abroad. Mr. Martins
joined CVRD in 1985 and has broad experience in corporate finance issues. He was CVRDs Head officer of the
Corporate Finance department between August 1999 and September 2003 and also chief financial officer of FCA.
Mr. Martins has served in a variety of positions in companies affiliated to CVRD, such as FCA, Samarco,
Ferroban, Açominas, Gulf Industrial Investment Corporation, Itabrasco and Hispanobrás. Since October 2003,
Mr. Martins is also the chief executive officer of Caemi Mineração e Metalurgia S.A. and the chief executive
officer of MBR.
ANÍBAL MOREIRA DOS SANTOS. Born on 8/26/1938 and enrolled with the CPF under No. 011.204.567-87, Mr. Santos
was elected as a member of the CVRD Fiscal Council since July 2005, and shall hold this position until the
Shareholders Meeting in 2007, having occupied the position of alternate member of Fiscal Council from April
to July of 2005. He holds masters in Technical Accountancy by Fundação Getúlio Vargas Technical School. From
1962 to 1965, he held the position of Senior Auditor at Arthur Andersen. Mr. Santos has already integrated
the Fiscal Council of Cadam S.A., from 1999 to 2003. Furthermore, he was an Alternate Member of the Board of
Directors Empreendimentos Brasileiros de Mineração S.A. and of Minerações Brasileiras Reunidas S.A.. He was
also Member of the Executive Office of Caemi Canadá Inc., Caemi Canadá Investments Inc., Caemi International
Holdings BV, Caemi International Investments NV and CMM Overseas Ltd. He joined Caemi Group in 1965, where
he held several positions, among them, Chief Accounting Officer, from 1983 to 2003. The shareholder VALEPAR
S.A nominated him.
Page: 14
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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|
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1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
02.02 PROFESSIONAL EXPERIENCE AND ACADEMIC BACKGROUND OF EACH BOARD MEMBER AND EXECUTIVE OFFICER
MARCELO AMARAL MORAES. Born on 7/10/1967 and enrolled with the CPF under No. 929.390.077-72, Mr. Moraes
holds a Bachelors Degree in Economics from the Federal University of Rio de Janeiro FEA/UFRJ (1990) and a
Masters Degree in Business Administration from the Federal University of Rio de Janeiro COPPEAD/UFRJ
(1993). Mr. Moraes is a current member of the Fiscal Council since April 2004 and holds this office until
the next Shareholders Meeting in 2007. He worked for several years in areas regarding mergers and capital
acquisition for the Banks Bozano, Simonsen and Cindam. He was an alternate member of the Boards of Directors
of Companhia Vale do Rio Doce, in 2003 and Net Serviços Comunicação, in 2004. He is currently Investment
Manager for Bradespar S.A . since 2000. The shareholder VALEPAR S.A nominated him.
OSWALDO MÁRIO PÊGO DE AMORIM AZEVEDO. Born on 6/23/1941 and enrolled with the CPF under No. 005.065.327-04,
Mr. Amorim holds a Bachelors Degree Industrial and Production Engineering from the Pontifical Catholic
University of Rio de Janeiro. He was elected as alternate member of the CVRD Fiscal Council since July 2005
with a term of office until the next Shareholders Meeting to be held in 2007, having occupied the position
of member of the Fiscal Council of CVRD from April/2004 to July/2005. In addition, he has held the position
of Vice President of International Operations for Sul América Seguros (Insurance Company) since January/1996
and Vice President of the National Federation of Private Insurance and Capitalization Companies (FENASEG).
From Janeiro/1964 to March/1975 he held the position of engineer at CVRD. From 1975 to the present date he
has held several positions in the area of insurance, among which are Officer of Planning for Sul América
Seguros and Executive President of Sul América Unibanco Segurador (Insurance Company), an association
between Sul America and Unibanco, nominated by the shareholder VALEPAR.
MARCOS COIMBRA. Born on March, 1944, CPF/Mfunder nº 005.596.447-87. Mr. Coimbra was elected as a member of
the fiscal council of CVRD in April 2006. Mr. Appy received a B.A. in Economics from the Universidade do
Estado do Rio de Janeiro, and concluded his masters and especializations in educational administration at
Universidade Metodista de Piracicaba. From 1971 to 2000, Mr. Coimbra was a professor of Economics at
Universidade Cândido Mendes, and, from 1993 to 1995, he was chief of the Quantitative Theory Departament of
Universidade do Estado do Rio de Janeiro. From 1987 to 1993, Mr. Coimbra held a director position at
Associação dos Diplomados da Escola Superior de Guerra, where he had been previously chief of the Economics
Issues Department from 1986 to 1994. Mr. Coimbra also was a especial consultant for of the Assembléia
Legislativa do Estado do Rio de Janeiro, from 1995 to 2003. Mr. Coimbra was also an officer of Centro
Universitário Bennett e and of Planec Ltda, as well as member of the board of Grande Oriente do Brasil.
Appointed by VALEPAR S.A
JOSÉ BERNARDO DE MEDEIROS NETO. Born on 5/26/1938, enrolled with the CPF under No. 055.573.740-49, Mr.
Medeiros Neto has a degree in law from Universidade Federal do Rio Grande do Sul. Mr. Medeiros is a member
of the Fiscal Council since April/2005 and shall hold this term of office until the next Shareholders
Meeting to be held in August/ 2007. Mr. Medeiros Neto is a retired employee of the Banco do Brasil where he
worked from April 1957 until 1974, and held various positions. . He held the position of Executive
Vice-President of the Rio Grand do Sul State Development Bank (BADESUL) from 1975 to 1980, working in the
administration and operations area. He was Chief Executive Officer of the Banrisul Financeira S.A. from 1980
to 1982.. Currently holds the position of President of the AFABB-RS (Retired Banco do Brazil Empoyees
Association RS), is President of the Previ Fiscal Council. The shareholder VALEPAR S.A nominated him.
Page: 15
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
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|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
02.02 PROFESSIONAL EXPERIENCE AND ACADEMIC BACKGROUND OF EACH BOARD MEMBER AND EXECUTIVE OFFICER
BERNARD APPY. Born on February 02, 1962, CPF/MF under nº 022.743.238-01, Mr. Appy was appointed as a member
of the fiscal council of CVRD in April 2006 and his mandate extends to the 2007 Annual Shareholders Meeting.
Mr. Appy received a B.A. in Economics from the Universidade de São Paulo FEA/USP, and concluded M.A.
classes in Economics at Universidade Estadual de Campinas UNICAMP. Since April 2006 he holds the office of
Secretary of the Ministry of Finance of Brazil, which he previously held from January 2003 to May 2005.
From May 2005 to March 2006, he held the position of Secretary for Economic Policies at the Ministry of
Finance of Brazil. Since 1997, Mr. Appy is a member of faculty of the Economics Department of the School of
Business, Economics and Accounting of Pontifícia Universidade Católica de São Paulo PUC-SP. From 1995 to
2002, he was a partner of LCA Consultores Ltda., a consulting firm in economics. Appointed by holders of
preferred class A shares.
TARCÍSIO JOSÉ MASSOTE DE GODOY. Born on 4/5/1964 and enrolled with the CPF under No. 316.688.601-04 and
holds a Bachelors Degree in Civil Engineering and a Graduate Degree in Geotechnology from the University of
Brasilia, Mr. Godoy was elected alternate member of the CVRD Fiscal Council on August 2004, for a term of
office until the next Shareholders Meeting to be held in 2007. Mr. Godoy is currently Assistant Secretary
of the Brazilian National Treasury. He has held several positions in the federal government, particularly:
General Coordinator for Assumption and Restructuring Liabilities and General Coordinator for Public Debt
Administration with the Brazilian National Treasury; Assistant Secretary and General Coordinator of the
Social Security and Welfare Ministry. He was Officer of the Social Security Foundation (GEAP) and Consultant
for the Economic Commission for Latin American and Caribbean (CEPAL) and Century Economic Consultants. He
participated in Fiscal Council as the Brazilian
governments representative in the following State
companies: Siderurgia Brasileira S/A (SIDERBRÁS), Companhia Estadual de Gás do Estado do Rio de Janeiro
(CEG/RJ), Companhia Docas do Estados do Rio de Janeiro (CDRJ), the Social Security Data Processing Company
(DATAPREV), Empresa de Telecomunicações do Rio de Janeiro (TELERJ), Banco do Brasil Investimento (BBI). He
is currently a member of the Board of Directors of SERPRO, member of the Fiscal Council of Banco do Brasil
Distribuidora de Valores Mobiliários BBDTVM, the Fiscal Council for the Federal Economists Foundation
(FUNCEF). He was elected by the holders of Class A preferential shares.
Page: 16
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
03.01 EVENTS RELATIVE TO THE DISTRIBUTIONS OF THE STOCK CAPITAL
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
APPROXIMATE NUMBER OF OTHER SHAREHOLDERS |
|
|
|
|
1 - BASIC EVENT |
|
2 - DATE OF THE EVENT |
|
3 - NATURAL PERSONS AND LEGAL ENTITIES |
|
4 - INSTITUTIONAL INVESTORS |
|
5 - SHAREHOLDERS' AGREEMENTS |
|
6 - PREFERRED SHARES WITH RIGHT TO VOTE |
OGM
|
|
04/27/2006
|
|
51,130
|
|
5,711
|
|
YES ¨
|
|
NO ý
|
|
YES ý
|
|
NO ¨
|
|
RESTRICT ¨ |
7 PREFERRED SHARES WITH RIGHT TO VOTE
PNA
8 DATE OF THE SHAREHOLDERS AGREEMENTS
SHARES OUTSTANDING
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
COMMON |
|
|
|
PREFERRED |
|
|
|
TOTAL |
|
|
|
15 - PREFERRED |
|
|
|
|
9 QUANTITY (UNITY) |
|
10 PERCENTUAL |
|
11 QUANTITY (UNITY) |
|
12 - PERCENTUAL |
|
13 QUANTITY (UNITY) |
|
14 PERCENTUAL |
|
CLASS |
|
QUANTITY (UNITY) |
|
PERCENTUAL |
586,706,356 |
|
39.90 |
|
959,735,284 |
|
96.80 |
|
1,546,441,640 |
|
62.87 |
|
PNA |
|
959,735,284 |
|
96.80% |
|
|
|
03.02 |
|
SHARE POSITION OF SHAREHOLDERS WITH OVER 5% OF THE VOTING SHARES IN CASE OF LEGAL
ENTITY, INFORM THE CONTROLLING PARTIES TO THE LEVEL OF NATURAL PERSON, IN APPENDIX 01 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
8 - |
|
CLASS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
13 - SHAREHOLDERS |
|
|
|
1 - |
|
|
|
|
|
|
|
5 - FEDERAL |
|
6 - COMMON |
|
|
|
|
|
PREFERRED |
|
PREFERRED |
|
|
|
|
|
10 - TOTAL |
|
|
|
|
|
12 - SHAREHOLDING |
|
AGREEMENT |
|
|
|
ITEM |
|
2 - NAME/COMPANY NAME |
|
3 - CPF/CNPJ |
|
4 - NATIONALITY |
|
UNIT |
|
SHARES |
|
7 - % |
|
SHARES |
|
SHARES |
|
9 - % |
|
SHARES |
|
11 - % |
|
COMPOSITION |
|
INTEREST |
|
14 - CONTROLLER |
|
000 |
|
BNDES PARTICIPAÇÕES S.A |
|
00.383.281.0001/09 |
|
Brazilian |
|
RJ |
|
|
100,578,860 |
|
|
|
6.70 |
|
|
|
728,666 |
|
|
A |
|
|
0.08 |
|
|
|
101,307,526 |
|
|
|
4.12 |
|
|
|
05/22/2006 |
|
|
|
|
NO |
|
001 |
|
VALEPAR |
|
01.772.413/0001-57 |
|
Brazilian |
|
RJ |
|
|
784,294,266 |
|
|
|
52.29 |
|
|
|
|
|
|
|
|
|
|
|
|
|
794,294,266 |
|
|
|
31.89 |
|
|
|
05/22/2006 |
|
|
|
|
YES |
|
997 |
|
TREASURY STOCK |
|
|
|
|
|
|
|
|
28,291,020 |
|
|
|
1.89 |
|
|
|
22,916 |
|
|
A |
|
|
0.00 |
|
|
|
28,313,936 |
|
|
|
1.15 |
|
|
|
05/22/2006 |
|
|
|
|
NO |
|
998 |
|
OTHERS |
|
|
|
|
|
|
|
|
586,734,712 |
|
|
|
39.12 |
|
|
|
959,006,618 |
|
|
A |
|
|
99.92 |
|
|
|
772,870,665 |
|
|
|
62.84 |
|
|
|
05/22/2006 |
|
|
|
|
NO |
|
99 |
|
TOTAL |
|
|
|
|
|
|
|
|
1,499,898,858 |
|
|
|
100.00 |
|
|
|
959,758,200 |
|
|
A |
|
|
100.00 |
|
|
|
2,459,657,058 |
|
|
|
100.00 |
|
|
|
05/22/2006 |
|
|
|
|
|
|
Page: 17
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
03.03 STOCK CAPITAL DISTRIBUTION AMONG CONTROLLERS
|
|
|
|
|
1 - ITEM
|
|
2 - INVESTOR
|
|
3 - DATE OF THE SOCIAL CAPITALS COMPOSITION |
01
|
|
VALEPAR
|
|
04/28/2005 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5 - FEDERAL |
|
6 - COMMON |
|
|
|
|
|
8 - PREFERRED |
|
|
|
|
|
10 - TOTAL SHARES |
|
|
|
|
|
12 - STOCK CAPITAL |
1 - ITEM |
|
2 - NAME/COMPANY NAME |
|
3 - CPF/CNPJ |
|
4 - NATIONALITY |
|
UNIT |
|
SHARES |
|
7 - % |
|
SHARES |
|
9 - % |
|
(UNIT) |
|
11 - % |
|
COMPOSITION |
0103 |
|
Litel Participações S.A. |
|
00.743.065/0001-27 |
|
Brazilian |
|
RJ |
|
|
157,991,298 |
|
|
|
49.00 |
|
|
|
49,784,472 |
|
|
|
71.41 |
|
|
|
207,775,770 |
|
|
|
52.98 |
|
|
03/31/2006 |
0105 |
|
Eletron S.A. |
|
00.514.998/0001-42 |
|
Brazilian |
|
RJ |
|
|
94,359 |
|
|
|
0.03 |
|
|
|
|
|
|
|
|
|
|
|
94,359 |
|
|
|
0.02 |
|
|
03/31/2006 |
0108 |
|
Litela Participações S.A. |
|
05.495.546/0001-84 |
|
Brazilian |
|
RJ |
|
|
|
|
|
|
|
|
|
|
19,931,442 |
|
|
|
28,59 |
|
|
|
19,931,442 |
|
|
|
5.08 |
|
|
03/31/2006 |
0109 |
|
Mitsui & Co., Ltd. |
|
|
|
Japanese |
|
|
|
|
58,822,071 |
|
|
|
18.24 |
|
|
|
|
|
|
|
|
|
|
|
58,822,071 |
|
|
|
15.00 |
|
|
03/31/2006 |
0110 |
|
BNDES Participações |
|
00.383.281/0001-09 |
|
Brazilian |
|
RJ |
|
|
37,125,000 |
|
|
|
11.52 |
|
|
|
|
|
|
|
|
|
|
|
37,125,000 |
|
|
|
9.48 |
|
|
03/31/2006 |
0111 |
|
Bradespar S.A. |
|
03.847.461/0001-92 |
|
Brazilian |
|
RJ |
|
|
68,398,491 |
|
|
|
21.21 |
|
|
|
|
|
|
|
|
|
|
|
68,398,491 |
|
|
|
17.44 |
|
|
03/31/2006 |
0199 |
|
TOTAL |
|
|
|
|
|
|
|
|
322,431,219 |
|
|
|
100.00 |
|
|
|
69,715,914 |
|
|
|
100.00 |
|
|
|
392,147,133 |
|
|
|
100.00 |
|
|
|
Page: 18
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
03.03 STOCK CAPITAL DISTRIBUTION AMONG CONTROLLERS
|
|
|
|
|
1 ITEM
|
|
2 INVESTOR
|
|
3 DATE OF THE SOCIAL CAPITALS COMPOSITION |
0103
|
|
Litel Participações S.A.
|
|
04/28/2005 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5 - FEDERAL |
|
6 - COMMON |
|
|
|
8 - PREFERRED |
|
|
|
10 - TOTAL SHARES |
|
|
|
12 - STOCK CAPITAL |
1 - ITEM |
|
2 - NAME/COMPANY NAME |
|
3 - CPF/CNPJ |
|
4 - NATIONALITY |
|
UNIT |
|
SHARES |
|
7 - % |
|
SHARES |
|
9 - % |
|
(UNIT) |
|
11 - % |
|
COMPOSITION |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Page: 19
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
03.03 STOCK CAPITAL DISTRIBUTION AMONG CONTROLLERS
|
|
|
|
|
1 ITEM
|
|
2 INVESTOR
|
|
3 DATE OF THE SOCIAL CAPITALS COMPOSITION |
0105
|
|
Eletron S.A.
|
|
04/28/2005 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5 - FEDERAL |
|
6 - COMMON |
|
|
|
8 - PREFERRED |
|
|
|
10 - TOTAL SHARES |
|
|
|
12 - STOCK CAPITAL |
1 - ITEM |
|
2 - NAME/COMPANY NAME |
|
3 - CPF/CNPJ |
|
4 - NATIONALITY |
|
UNIT |
|
SHARES |
|
7 - % |
|
SHARES |
|
9 - % |
|
(UNIT) |
|
11 - % |
|
COMPOSITION |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Page: 20
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
03.03 STOCK CAPITAL DISTRIBUTION AMONG CONTROLLERS
|
|
|
|
|
1 ITEM
|
|
2 INVESTOR
|
|
3 DATE OF THE SOCIAL CAPITALS COMPOSITION |
0108
|
|
Litela Participações S.A.
|
|
04/28/2005 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5 - FEDERAL |
|
6 - COMMON |
|
|
|
8 - PREFERRED |
|
|
|
10 - TOTAL SHARES |
|
|
|
12 - STOCK CAPITAL |
1 - ITEM |
|
2 - NAME/COMPANY NAME |
|
3 - CPF/CNPJ |
|
4 - NATIONALITY |
|
UNIT |
|
SHARES |
|
7 - % |
|
SHARES |
|
9 - % |
|
(UNIT) |
|
11 - % |
|
COMPOSITION |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Page: 21
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
03.03 STOCK CAPITAL DISTRIBUTION AMONG CONTROLLERS
|
|
|
|
|
1 ITEM
|
|
2 INVESTOR
|
|
3 DATE OF THE SOCIAL CAPITALS COMPOSITION |
0109
|
|
Mitsui & Co., Ltd.
|
|
04/28/2005 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5 - FEDERAL |
|
6 - COMMON |
|
|
|
8 - PREFERRED |
|
|
|
10 - TOTAL SHARES |
|
|
|
12 - STOCK CAPITAL |
1 - ITEM |
|
2 - NAME/COMPANY NAME |
|
3 - CPF/CNPJ |
|
4 - NATIONALITY |
|
UNIT |
|
SHARES |
|
7 - % |
|
SHARES |
|
9 - % |
|
(UNIT) |
|
11 - % |
|
COMPOSITION |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Page: 22
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
03.03 STOCK CAPITAL DISTRIBUTION AMONG CONTROLLERS
|
|
|
|
|
1 ITEM
|
|
2 INVESTOR
|
|
3 DATE OF THE SOCIAL CAPITALS COMPOSITION |
0110
|
|
BNDES Participações
|
|
04/28/2005 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5 - FEDERAL |
|
6 - COMMON |
|
|
|
8 - PREFERRED |
|
|
|
10 - TOTAL SHARES |
|
|
|
12 - STOCK CAPITAL |
1 - ITEM |
|
2 - NAME/COMPANY NAME |
|
3 - CPF/CNPJ |
|
4 - NATIONALITY |
|
UNIT |
|
SHARES |
|
7 - % |
|
SHARES |
|
9 - % |
|
(UNIT) |
|
11 - % |
|
COMPOSITION |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Page: 23
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
03.03 STOCK CAPITAL DISTRIBUTION AMONG CONTROLLERS
|
|
|
|
|
1 ITEM
|
|
2 INVESTOR
|
|
3 DATE OF THE SOCIAL CAPITALS COMPOSITION |
0111
|
|
Bradespar S.A.
|
|
04/28/2005 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5 - FEDERAL |
|
6 - COMMON |
|
|
|
8 - PREFERRED |
|
|
|
10 - TOTAL SHARES |
|
|
|
12 - STOCK CAPITAL |
1 - ITEM |
|
2 - NAME/COMPANY NAME |
|
3 - CPF/CNPJ |
|
4 - NATIONALITY |
|
UNIT |
|
SHARES |
|
7 - % |
|
SHARES |
|
9 - % |
|
(UNIT) |
|
11 - % |
|
COMPOSITION |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Page: 24
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
04.01 COMPOSITION OF THE SHARE CAPITAL
1 Date of the last change: 03/31/2006
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4 - NOMINATIVE STOCK |
|
|
|
|
|
6 - QUANTITY OF |
|
7 - SUBSCRIBED |
|
8 - PAID-UP |
2 ITEM |
|
3 SPECIFICATION |
|
OR BOOK ENTRY SHARE |
|
5 - FACE VALUE |
|
SHARES (UNIT) |
|
(R$ THOUSANDS) |
|
(R$ THOUSANDS) |
01 |
|
COMMON SHARES (BOOK SHARES) |
|
BOOK ENTRY SHARE |
|
|
|
|
|
|
1,499,898,858 |
|
|
|
9,007,032 |
|
|
|
9,007,032 |
|
02 |
|
CLASS A PREFERRED SHARES |
|
BOOK ENTRY SHARE |
|
|
|
|
|
|
959,758,200 |
|
|
|
10,485,369 |
|
|
|
10,485,369 |
|
03 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,459,657,058 |
|
|
|
19,492,401 |
|
|
|
19,492,401 |
|
Page: 25
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
04.02 SUBSCRIBED SHARE CAPITAL
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3 - SHARE CAPITAL |
|
4 - VALUE OF |
|
5 - ORIGIN OF |
|
7 - NUMBER OF OUTSTANDING |
|
8 -
OUTSTANDING SHARES |
1 - ITEM |
|
2 DATE |
|
(R$ THOUSANDS) |
|
ALTERATION (R$ THOUSANDS) |
|
ALTERATION |
|
SHARES (UNITS) |
|
VALUE (REAIS) |
01 |
|
|
04/16/2003 |
|
|
|
6,300,000 |
|
|
|
1,300,000 |
|
|
Revenue Reserves |
|
|
|
|
|
|
|
|
02 |
|
|
04/28/2004 |
|
|
|
7,300,000 |
|
|
|
1,000,000 |
|
|
Revenue Reserves |
|
|
|
|
|
|
|
|
03 |
|
|
04/27/2005 |
|
|
|
14,000,000 |
|
|
|
6,700,000 |
|
|
Revenue Reserves |
|
|
|
|
|
|
|
|
04 |
|
|
03/31/2006 |
|
|
|
19,492,401 |
|
|
|
5,492,401 |
|
|
Merged of shares |
|
|
|
|
|
|
|
|
04.03 STOCK SPLIT
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2 - FACE VALUE BEFORE |
|
2 - FACE VALUE AFTER STOCK |
|
3- QUATITY OF SHARE BEFORE |
|
4- QUATITY OF SHARE BEFORE |
1 DATE |
|
STOCK SPLIT (Reais) |
|
SPLIT (Reais) |
|
STOCK SPLIT |
|
STOCK SPLIT |
04/27/2006 |
|
|
|
|
|
|
|
|
|
|
1,229,828,529 |
|
|
|
2,459,657,058 |
|
04.04 AUTHORIZED STOCK CAPITAL
|
|
|
|
|
|
|
|
|
1 - NUMBER (UNITS) |
|
2 - VALUE (REAIS) |
|
3 - DATE OF AUTHORIZATION |
5,400,000,000 |
|
|
0 |
|
|
|
04/27/2006 |
|
04.05 ADDRESS OF THE PRINCIPAL OFFICE
|
|
|
|
|
|
|
|
|
|
|
|
|
1 - ITEM |
|
2 - SPECIFICATIION |
|
3 - CLASS |
|
4 - QUANTITY OF AUTHORIZED STOCK ISSUE (UNITS) |
01 |
|
COMMON SHARES |
|
|
|
|
|
|
1,800,000,000 |
|
02 |
|
PREFERRED SHARES |
|
|
A |
|
|
|
3,600,000,000 |
|
Page: 26
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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|
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|
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1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
05.01 TREASURY STOCK
|
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|
|
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6 - QUANTITY TO BE |
|
7 - AMOUNT TO BE PAID |
|
8 - QUANTITY ACQUIRED |
|
9 - AMOUNT PAID (R$ |
1 ITEM |
|
2 SPECIFICATION |
|
3 CLASS |
|
4 MEETING |
|
5 - ACQUISITION TERM |
|
ACQUIRED (UNITS) |
|
(REAIS THOUSANDS) |
|
(UNITS) |
|
THOUSANDS) |
01 |
|
COMMON |
|
|
|
|
|
|
10/24/2001 |
|
|
3 MONTHS |
|
|
30,164,574 |
|
|
|
|
|
|
|
28,291,020 |
|
|
|
131,103 |
|
02 |
|
PREFFERED |
|
|
|
|
|
|
10/24/2001 |
|
|
3 MONTHS |
|
|
82,157,232 |
|
|
|
|
|
|
|
22,916 |
|
|
|
215 |
|
Page: 27
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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1 -
|
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CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
06.01 DIVIDENDS/INTEREST ON STOCKHOLDERS EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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6 - NET PROFIT OR |
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|
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10 - AMOUNT OF THE |
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5 - END OF THE |
|
LOSS IN THE PERIOD |
|
7 - DIVIDENDS PER |
|
8 - TYPE OF |
|
9 - CLASS |
|
DIVIDEND |
|
11 - PAYMENT |
1 ITEM |
|
2 - DIVIDENDS/INTEREST |
|
3 EVENT |
|
4 DATE |
|
FISCAL YEAR |
|
(R$ THOUSAND) |
|
SHARE (R$) |
|
SHARE |
|
OF SHARE |
|
(R$ THOUSAND) |
|
DATE |
01 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
04/16/2003 |
|
|
|
12/31/2003 |
|
|
|
4,508,850 |
|
|
|
1.6200000000 |
|
|
Common |
|
|
|
|
|
|
400,054 |
|
|
|
04/30/2003 |
|
02 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
04/16/2003 |
|
|
|
12/31/2003 |
|
|
|
4,508,850 |
|
|
|
1.6200000000 |
|
|
Preferred |
|
|
A |
|
|
|
221,766 |
|
|
|
04/30/2003 |
|
03 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
08/27/2003 |
|
|
|
12/31/2003 |
|
|
|
4,508,850 |
|
|
|
1.9400000000 |
|
|
Common |
|
|
|
|
|
|
479,077 |
|
|
|
10/31/2003 |
|
04 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
08/27/2003 |
|
|
|
12/31/2003 |
|
|
|
4,508,850 |
|
|
|
1.9400000000 |
|
|
Preferred |
|
|
A |
|
|
|
265,572 |
|
|
|
10/31/2003 |
|
05 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
10/15/2003 |
|
|
|
12/31/2003 |
|
|
|
4,508,850 |
|
|
|
1.4800000000 |
|
|
Common |
|
|
|
|
|
|
365,482 |
|
|
|
10/31/2003 |
|
06 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
10/15/2003 |
|
|
|
12/31/2003 |
|
|
|
4,508,850 |
|
|
|
1.4800000000 |
|
|
Preferred |
|
|
A |
|
|
|
202,601 |
|
|
|
10/31/2003 |
|
07 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
04/14/2004 |
|
|
|
12/31/2003 |
|
|
|
4,508,850 |
|
|
|
2.0600000000 |
|
|
Common |
|
|
|
|
|
|
205,793 |
|
|
|
04/30/2004 |
|
08 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
04/14/2004 |
|
|
|
12/31/2003 |
|
|
|
4,508,850 |
|
|
|
2.0600000000 |
|
|
Preferred |
|
|
A |
|
|
|
114,080 |
|
|
|
04/30/2004 |
|
09 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
10/13/2004 |
|
|
|
12/31/2004 |
|
|
|
6,459,519 |
|
|
|
0.6700000000 |
|
|
Common |
|
|
|
|
|
|
502,466 |
|
|
|
10/29/2004 |
|
10 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
10/13/2004 |
|
|
|
12/31/2004 |
|
|
|
6,459,519 |
|
|
|
0.6700000000 |
|
|
Preferred |
|
|
A |
|
|
|
278,538 |
|
|
|
10/29/2004 |
|
11 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
10/13/2004 |
|
|
|
12/31/2004 |
|
|
|
6,459,519 |
|
|
|
0.3600000000 |
|
|
Common |
|
|
|
|
|
|
269,982 |
|
|
|
10/29/2004 |
|
12 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
10/13/2004 |
|
|
|
12/31/2004 |
|
|
|
6,459,519 |
|
|
|
0.3600000000 |
|
|
Preferred |
|
|
A |
|
|
|
149,662 |
|
|
|
10/29/2004 |
|
13 |
|
Dividend |
|
BDM |
|
|
10/13/2004 |
|
|
|
12/31/2004 |
|
|
|
6,459,519 |
|
|
|
0.2400000000 |
|
|
Common |
|
|
|
|
|
|
179,988 |
|
|
|
10/29/2004 |
|
14 |
|
Dividend |
|
BDM |
|
|
10/13/2004 |
|
|
|
12/31/2004 |
|
|
|
6,459,519 |
|
|
|
0.2400000000 |
|
|
Preferred |
|
|
A |
|
|
|
99,775 |
|
|
|
10/29/2004 |
|
15 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
04/14/2005 |
|
|
|
12/31/2004 |
|
|
|
6,459,519 |
|
|
|
1.1100000000 |
|
|
Common |
|
|
|
|
|
|
816,951 |
|
|
|
04/29/2005 |
|
16 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
04/14/2005 |
|
|
|
12/31/2004 |
|
|
|
6,459,519 |
|
|
|
1.1100000000 |
|
|
Preferred |
|
|
A |
|
|
|
461,562 |
|
|
|
04/29/2005 |
|
17 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
04/14/2005 |
|
|
|
12/31/2005 |
|
|
|
1,615,190 |
|
|
|
0.0012045000 |
|
|
Common |
|
|
|
|
|
|
886 |
|
|
|
04/29/2005 |
|
18 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
04/14/2005 |
|
|
|
12/31/2005 |
|
|
|
1,615,190 |
|
|
|
0.0012045000 |
|
|
Preferred |
|
|
A |
|
|
|
501 |
|
|
|
04/29/2005 |
|
19 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
04/14/2005 |
|
|
|
12/31/2005 |
|
|
|
5,094,475 |
|
|
|
0.6800000000 |
|
|
Common |
|
|
|
|
|
|
500,480 |
|
|
|
10/31/2005 |
|
20 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
04/14/2005 |
|
|
|
12/31/2005 |
|
|
|
5,094,475 |
|
|
|
0.6800000000 |
|
|
Preferred |
|
|
A |
|
|
|
281,520 |
|
|
|
10/31/2005 |
|
21 |
|
Dividend |
|
BDM |
|
|
10/14/2005 |
|
|
|
12/31/2005 |
|
|
|
5,094,475 |
|
|
|
0.3000000000 |
|
|
Common |
|
|
|
|
|
|
223,584 |
|
|
|
10/31/2005 |
|
22 |
|
Dividend |
|
BDM |
|
|
10/14/2005 |
|
|
|
12/31/2005 |
|
|
|
5,094,475 |
|
|
|
0.3000000000 |
|
|
Preferred |
|
|
A |
|
|
|
125,766 |
|
|
|
10/31/2005 |
|
24 |
|
Dividend |
|
BDM |
|
|
10/14/2005 |
|
|
|
12/31/2005 |
|
|
|
5,094,475 |
|
|
|
0.5800000000 |
|
|
Common |
|
|
|
|
|
|
434,438 |
|
|
|
10/31/2005 |
|
Page: 28
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
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|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
06.01 DIVIDENDS/INTEREST ON STOCKHOLDERS EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
25 |
|
Dividend |
|
BDM |
|
|
10/14/2005 |
|
|
|
12/31/2005 |
|
|
|
5,094,475 |
|
|
|
0.5800000000 |
|
|
Preferred |
|
|
A |
|
|
|
244,372 |
|
|
|
10/31/2005 |
|
26 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
04/12/2006 |
|
|
|
12/31/2005 |
|
|
|
10,442,986 |
|
|
|
0.666133869 |
|
|
Common |
|
|
|
|
|
|
490,144 |
|
|
|
04/28/2006 |
|
27 |
|
Interest On Stockholders Equity |
|
BDM |
|
|
04/12/2006 |
|
|
|
12/31/2005 |
|
|
|
10,442,986 |
|
|
|
0.666133869 |
|
|
Preferred |
|
|
A |
|
|
|
319,656 |
|
|
|
04/28/2006 |
|
28 |
|
Dividend |
|
BDM |
|
|
04/12/2006 |
|
|
|
12/31/2005 |
|
|
|
10,442,986 |
|
|
|
0.479159025 |
|
|
Common |
|
|
|
|
|
|
352,567 |
|
|
|
04/28/2006 |
|
29 |
|
Dividend |
|
BDM |
|
|
04/12/2006 |
|
|
|
12/31/2005 |
|
|
|
10,442,986 |
|
|
|
0.479159025 |
|
|
Preferred |
|
|
A |
|
|
|
229,933 |
|
|
|
04/28/2006 |
|
Page: 29
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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|
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1 -
|
|
CVM CODE
|
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2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
06.03 BYLAW DISTRIBUTION OF THE STOCK CAPITAL
|
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14- |
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2 - SHARE |
|
3 |
|
4 - STOCK |
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6- |
|
7- |
|
8-TAG |
|
9 - PREVISION |
|
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11 - FIXED |
|
12- MINIMUM |
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CUMULATIV |
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16 - |
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|
SPECIFICATI |
|
SHARE |
|
CAPITAL |
|
5- |
|
CONVERTIBLE |
|
VOTING |
|
ALONG |
|
FOR CAPITAL |
|
10 |
|
DIVIDEND |
|
DIVIDEND |
|
13- |
|
E DIVIDEND |
|
15- |
|
VALUATION |
|
|
1 - ITEM |
|
ON |
|
CLASS |
|
% |
|
CONVERTIBLE |
|
IN |
|
RIGHTS |
|
% |
|
REFUND |
|
PREMIUM |
|
TYPE % |
|
TYPE % |
|
R$/SHARE |
|
TYPE % |
|
PRIORITY |
|
BASIS |
|
17-Observation |
01 |
|
Common |
|
|
|
|
|
|
60.98 |
|
|
No |
|
|
|
|
|
Yes |
|
|
|
|
|
No |
|
No |
|
MINIMUM |
|
|
00.00 |
|
|
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|
|
No |
|
No |
|
Adjusted Net Income |
|
Tag Along as |
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discloused in art. |
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254-A, law 6,404/76. |
02 |
|
Preferred |
|
|
A |
|
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|
39.02 |
|
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No |
|
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|
Yes |
|
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|
|
No |
|
No |
|
MINIMUM |
|
|
6,00 |
|
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No |
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Yes |
|
Stock Capital |
|
As discloused |
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in art. 5º |
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paragraph 5º letter |
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a), to a minimum 3% |
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of the stockholders |
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equity or 6% over |
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interest of this |
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class of share |
06.04 BYLAW ALTERATION
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1 -
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DATE OF THE LAST CHANGE
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2 -
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COMPULSORY DIVIDEND (% PROFIT) |
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04/27/2006
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0,00 |
Page: 30
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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1 -
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CVM CODE
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2 -
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NAME OF THE COMPANY
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3 -
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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07.01 TOTAL REMUNERATION OF THE ADMINISTRATORS
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1 -
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PROFIT SHARING
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2 -
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OVERALL ADMINSTRATOR REMUNERATION
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3 -
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FREQUENCY |
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NO
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R$ 57,000 thousand
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Annual |
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07.02- PARTICIPATIONS AND CONTRIBUTIONS IN THE LAST THREE YEARS
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1-
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DATA FINAL DO ÚLTIMO EXERCÍCIO SOCIAL: 12/31/2005 |
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2-
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DATA FINAL DO PENÚLTIMO EXERCÍCIO SOCIAL: 12/31/2004 |
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3-
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DATA FINAL DO ANTEPENÚLTIMO EXERCÍCIO SOCIAL: 12/31/2003 |
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4 - ITEM |
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5 - PARTICIPATIONS AND CONTRIBUTIONS |
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6 - AMOUNT PAID ON 12/31/2003 |
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7 - AMOUNT PAID ON 12/31/2001 |
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8 - AMOUNT PAID ON 12/31/2000 |
01 |
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Profit Sharing |
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02 |
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* Debenture Holders |
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03 |
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* Employees |
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04 |
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* Administrators |
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05 |
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* Founders' Shares |
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06 |
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Contributions |
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07 |
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* Assistance Fund |
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08 |
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* Pension Fund |
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191,000 |
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138,000 |
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178,000 |
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09 |
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* Others |
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10 |
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Net Profit in The Fiscal Year |
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10,442,986 |
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6,459519 |
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4,508,850 |
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11 |
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Net Loss in The Fiscal Year |
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* |
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OSM: Ordinary Shareholders Meeting |
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BDM: Board of Directors Meeting |
Page: 31
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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1 -
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CVM CODE
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2 -
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NAME OF THE COMPANY
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3 -
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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07.03 INVESTIMENTS IN AFFILIATED COMPANIES
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3 - CNPJ (CORPORATE |
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1 ITEM |
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2 - NAME OF THE AFFILIATED |
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TAXPAYER NUMBER) |
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4 TYPE |
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5 - PARTICIPATION % |
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6 - STOCKHOLDERS EQUITY |
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7 - COMPANY RATING |
01 |
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Itabira Rio Doce Company LTDA. |
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Subsidiary Closed Capital |
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100.00 |
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37.91 |
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Trade, Industry and Others |
02 |
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Rio Doce Europa S. A. R. L. |
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Subsidiary Closed Capital |
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99.80 |
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16.47 |
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Trade, Industry and Others |
Page: 32
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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1 -
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CVM CODE
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2 -
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NAME OF THE COMPANY
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3 -
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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08.01 CHARACTERISTICS OF PUBLIC OU PRIVATE DEBENTURE ISSUANCE
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1 - CHARACTERISTIC OF THE ISSUANCE |
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2 - ISSUANCE |
01 - ITEM |
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01 |
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02 - ISSUE SERIAL NUMBER |
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05 |
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03 - CVM REGISTRATION NUMBER |
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SEP/GER/DEB-91/022 |
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04 - CVM REGISTRATION DATE |
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07/26/1991 |
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05 - ISSUED SERIES |
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1A |
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06 - TYPE |
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SIMPLE |
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07 - NATURE |
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PUBLIC |
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08 - ISSUANCE DATE/ 09 - MATURITY DATE |
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07/01/1991 - 07/01/2006 |
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10 - TYPE OF DEBENTURE |
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SUBORDINATE |
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11 - REMUNERATION CONDITION |
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Usd+3% |
12 - PREMIUM/DISCOUNT |
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0 |
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13 - FACE VALUE (Reais) |
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79.98 |
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14 - AMOUNT ISSUED (Thousand Reais) |
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79,980 |
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15 - NUMBER OF SECURITIES ISSUED |
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1,000 |
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16 - OUTSTANDING (UNIT) |
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3 |
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17 - IN TREASURY (UNIT) |
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997 |
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18 - REDEEMED (UNIT) |
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0 |
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19 - CONVERTED (UNIT) |
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0 |
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20 - TO BE PLACED (UNIT) |
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0 |
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21 - DATE OF THE LAST REPRICING |
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07/01/2003 |
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22 - DATE OF THE NEXT EVENT |
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07/01/2006 |
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Page: 33
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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1 -
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CVM CODE
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2 -
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NAME OF THE COMPANY
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3 -
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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08.01 CHARACTERISTICS OF PUBLIC OU PRIVATE DEBENTURE ISSUANCE
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1 - CHARACTERISTIC OF THE ISSUANCE |
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2 ISSUANCE |
01 - ITEM |
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02 |
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02 - ISSUE SERIAL NUMBER |
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06 |
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03 - CVM REGISTRATION NUMBER |
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CVM/SRE/SEC/2002/04 |
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04 - CVM REGISTRATION DATE |
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10/04/2002 |
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05 - ISSUED SERIES |
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UN |
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06 - TYPE |
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SIMPLE |
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07 - NATURE |
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PUBLIC |
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08 - ISSUANCE DATE/ 09 - MATURITY DATE |
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07/08/1997 |
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10 - TYPE OF DEBENTURE |
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SUBORDINATE |
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11 - REMUNERATION CONDITION |
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12 - PREMIUM/DISCOUNT |
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13 - FACE VALUE (Reais) |
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0.02 |
|
14 - AMOUNT ISSUED (Thousand Reais) |
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3,885,590 |
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15 - NUMBER OF SECURITIES ISSUED |
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388,559,056 |
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16 - OUTSTANDING (UNIT) |
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|
388,559,056 |
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17 - IN TREASURY (UNIT) |
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18 - REDEEMED (UNIT) |
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19 - CONVERTED (UNIT) |
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20 - TO BE PLACED (UNIT) |
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21 - DATE OF THE LAST REPRICING |
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22 - DATE OF THE NEXT EVENT |
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|
Page: 34
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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1 -
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CVM CODE
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2 -
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NAME OF THE COMPANY
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3 -
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CNPJ (CORPORATE TAXPAYER NUMBER) |
|
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00417-0
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COMPANHIA VALE DO RIO DOCE
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|
33.592.510/0001-54 |
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|
09.01 A BRIEF HISTORY OF THE COMPANY
The Company was founded by the Brazilian Government in June 1942 to own and operate iron ore mines located at
Itabira in the State of Minas Gerais and the Vitória-Minas Railroad, which had operated to carry iron ore and
farm produce through the Rio Doce valley in southern Brazil to the Port of Vitória, located in state of
Espírito Santo.
The Company was established pursuant to commitments from the United Kingdom to contribute the Itabira iron ore
mines and from the United States to provide financing for the acquisition of railroad and mining equipment.
The initial purpose of the Company was to organize the production and export of iron ore through the Companys
Southern System to help meet strategic raw material needs during World War II.
In 1970, the Company and United States Steel Corporation commenced a joint venture to develop high quality
iron ore mineral deposits located at Carajás in the State of Pará in northern Brazil.
After acquiring U.S. Steels interests in 1977, the Company commenced construction of the Carajás mining
complex and the related Carajás Railroad with financing from various multilateral and commercial financial
institutions, including the World Bank and the European Coal and Steel Community.
The Carajás mining complex and related transportation facilities initiated commercial scale operations in 1987.
On May 6, 1997 through an auction at the Rio de Janeiro Stock Exchange, the Brazilian Government privatized
Companhia Vale do Rio Doce. The Consórcio Brasil (VALEPAR) bought 104,318,070 common shares of CVRD, equal
to 41.73% of the voting capital, for R$ 3,338,178,240.00.
Starting from two mine-railway-port systems in separate regions of the country, CVRD today is a conglomerate
involved in extracting and processing natural resources and in transportation, including the operation of
railroads and ports along with coastal and trans-oceanic shipping. It participates in a group of companies in
the steelmaking and ferroalloy sectors and also is present in other important areas of the Brazilian economy,
such as aluminum, copper. Spread over ten Brazilian states, in 1997 it constituted a new company in the energy
segment. CVRD decided to operate in the general cargo market with the same efficiency it does in handling the
iron ore it exports. In 1999 it was set up a specific department for logistics to administer its maritime
terminals together with the railroads it owns outright and in partnerships, thus boosting the reliability and
efficiency of transporting various cargoes: containers, solid and liquid bulk products, and general cargo.
The goal is to expand CVRDs presence in the sector by offering fully integrated logistics services.
The broad scope of CVRDs activities plays a hugely important role in Brazils progress. For this reason, the
Companys growth and development, besides justifying the pride of its employees, partners and shareholders,
reflects the ability of Brazilians to manage a business that today is a synonym for efficiency and
competitiveness the world over.
In touch with its times and aware of its responsibilities, CVRD published its first Social Report along with
its 1999 Financial Statements. Through the Fundação Vale do Rio Doce (FVRD), the Company directs its efforts
in education and in the areas of environmental preservation, health, infrastructure and economic development,
working to improve the lives of all those living in the regions under its influence.
The year 2000 represented a milestone in the life of Companhia Vale do Rio Doce, with the launch of ADRs on
the New York Stock Exchange. Such a complex range of businesses from mining ore to trading Company shares on
skittish capital markets is only feasible with modern and innovative management. Backed up by dedicated,
highly motivated employees, Company management has been more transparent, dynamic and, most importantly, more
focused and efficient.
Page: 35
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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1 -
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CVM CODE
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2 -
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NAME OF THE COMPANY
|
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3 -
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CNPJ (CORPORATE TAXPAYER NUMBER) |
|
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00417-0
|
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COMPANHIA VALE DO RIO DOCE
|
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|
33.592.510/0001-54 |
|
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|
09.01 A BRIEF HISTORY OF THE COMPANY
The third and final stage of the Companys privatization was successfully
completed with the global offering of 78,787,838 common shares held by the
National Treasury and the National Economic Development Bank BNDES. The
offer was oversubscribed more than three times, the shares being placed with
institutional investors in 17 countries Brazil, U.S., Canada, U.K.,
Ireland, Germany, Denmark, Spain, France, Holland, Italy, Kuwait, Luxembourg,
Sweden, Switzerland, Australia and China (Hong Kong) and 792,443 individual
shareholders in Brazil. CVRDs common shares began trading on the NYSE on
March 21, 2002 as American Depositary Receipts (ADRs), identified by ticker
symbol RIO.
The success of these transactions demonstrates the strong confidence that
Brazilian and foreign investors have in CVRDs future. The soundness of the
Companys balance sheet and strong cash generation ensures credibility in the
international debt market. A well defined long-term strategy, good corporate
governance, operational excellence, unquestioned leadership in the global
iron ore market, and significant growth opportunities in ferrous minerals,
copper, bauxite, alumina and logistics services, were all important factors
in attracting the large and diverse contingent of new shareholders.
In the course of its history, CVRD has expanded activities first started in
the Southeast of Brazil to all of the countrys regions. The company has a
broad portfolio of mineral products and has consolidated itself as one of the
most important players in the logistics sector. It runs an extensive network
of railroads, ports and terminals. It also operates coastal shipping routes
and offers the most complete intermodal service to be found on the Brazilian
market. CVRD maintains operations in 13 Brazilian states: Minas Gerais,
Espírito Santo, Pará, Maranhão, Tocantins, Sergipe, Bahia, Rio de Janeiro,
São Paulo, Goiás, Mato Grosso do Sul, Rio Grande do Sul and Santa Catarina.
Companhia Vale do Rio Doce ranks as the world leader of the iron ore and
pellets market. It is already the second largest global producer of manganese
and ferroalloys in addition to producing bauxite, potash, kaolin, aluminum
and alumina. It is a shareholder in 3 hydroelectric plants already in
operation, and in 6 other plants under construction. CVRD also holds shares
in 4 steel production companies.In business venture, CVRD always focuses on
acting in a socially responsible manner which is why all high-technology
projects being developed are outstanding examples of total concern for
ecosystems and are noted for being in harmony with the environment.
Companhia Vale do Rio Doce performs on a global scale with activities on 4
continents (the Americas, Europe, Africa and Asia). The company does business
in the following countries: United States, Peru, Chile, Argentina, Belgium,
France, Norway, China, Japan, Bahrain, Gabon and Mongolia. Its mineral
products are transformed into diverse products that are part of the daily
lives of millions of people around the world.
CVRD has an efficient system of Corporate Governance, which allows the
company to focus its business activities and implement its innovative
strategic planning. The objective behind this is to move into the select
group of the worlds top 3 diversified mining companies by the end of this
decade. CVRD is also working hard to become the leader in the logistics
sector in Latin America.
Awards and prizes won by CVRD in 2005 reflect and recognize the Companys
attitude of responsible relationship with its various publics and society as
a whole.
Best Metals & Mining Company of Latin America 2005
Categories Investor Relations, Corporate Governance and CEO. Conferred by Reuters Institutional
Investor Survey.
Page: 36
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
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1 -
|
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CVM CODE
|
|
2 -
|
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NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
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|
COMPANHIA VALE DO RIO DOCE
|
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|
|
33.592.510/0001-54 |
|
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|
|
|
|
|
|
|
|
09.01 A BRIEF HISTORY OF THE COMPANY
IR Magazine Brazil Awards 2005
Best Investor Relations Program Grand Prix. Best Performance in Investor Relations by a CEO or CFO
awarded jointly to CVRDs CEO, Roger Agnelli, and CFO, Fábio Barbosa.
Transparency Trophy
Awarded by Anefac (the Brazilian Association of Finance, Administration and Accounting Executives), Fipecafi (São
Paulo University Accounting Actuarial and Financial Research Institute), and the banking information organization Serasa.
Brazilian Mining Sector Company of the Year
Award by Brasil Mineral Magazine.
Best Intermodal Logistics Operator
Award by the Railroad Magazine.
ICSS Business Leadership Award
Given by the Social Security Cultural Institute (ICSS), with the support of the Brazilian Private
Pension Funds Association (Abrapp) and the National Association of Private Pension Funds to CVRDs CEO, Roger Agnelli.
Top of Marketing Business Personality Award, 2005
Awarded to CVRDs CEO, Roger Agnelli, by the Brazilian Sales and Marketing Managers
Association (ADVB).
Honorary Citizen of Rio de Janeiro
Awarded to CVRDs CEO, Roger Agnelli, by the Rio de Janeiro Municipal Legislative Assembly.
Anefac Professional of the Year Award, 2005
Award to CVRDs Controller, Marcus Vinícius Dias Severini, in the Accounting
Professionals category, by Anefac (Brazilian Association of Finance, Administration and Accounting Executives).
Aberje 2005 Award
Corporate Communications Company of the Year. National awards by the Brazilian Corporate Communication Association in the categories
Special Events, External Communication Video, Internal e-news, and Community and Internet Relationship; and 19 regional awards in
various categories.
Findes/Consuma Award
Awarded to the CVRD Botanical Park by the Espírito Santo State Industries Federation (Findes) and its Environmental Council (Consuma).
VII Minas Gerais Corporate Performance award, 2005
Award by Mercado Comum magazine, in the Large Exporters sub-category of Largest Companies of Minas Gerais.
National Industry Federation (CNI) Prize, for Pará State
Awards for Quality and Productivity in the Production Process Improvement and Cleaner Production categories.
Page: 37
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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09.02 CHARACTERISTICS OF THE BRANCH OF ACTIVITY
09.02 CHARACTERISTICS OF THE BRANCH OF ACTIVITY
Ferrous Minerals
In 2005, CVRDs production of iron ore was again an all-time record: 240.413 million tons. This was
10.3% more than the 218.010 million tons produced in 2004. The average annual growth in output of
iron ore in the period 20012005 has been 15%, with an increase of 100 million tons within four
years consolidating CVRDs leadership position in the global seaborne market.
All CVRDs mining complexes returned production records in 2005. This reflected the start-up of
operations at the Fábrica Nova mine in the Southern System, the ramp-up at Capão Xavier, expansion
of capacity at Carajás and increases in productivity at almost all the other mines.
To sustain these levels of improved efficiency, we now have two internal programs disseminating the
methodology of continuous improvement in operational performance, especially in ferrous minerals
and logistics: the TEOR (Transforming Excellence in Operations into Results) program, and the
PRO-ATIVO (Maintenance Excellence) program. As from 2006 the dissemination of best practices will
be structurally incorporated into the Companys routine operations.
In 2005 CVRD produced 36.376 million tons of pellets, 2.2% more than in 2004. The output of blast
furnace pellets was 22.8 million tons, and the output of direct reduction pellets, 13.6 million
tons. The volume attributable to CVRD from the production of the joint venture plants located in
Tubarão (Nibrasco, Kobrasco, Itabrasco and Hispanobrás) was 11.156 million tons; from Samarco was
6.852 million tons, and from GIIC, 2 million tons.
For the fifth consecutive year, CVRD led the price negotiations for the seaborne iron ore market.
In 2005 it agreed the benchmark price with Nippon Steel, one of the largest steelmakers in Asia,
with an increment of 71.5%, from the 2004 price, for Carajás sinter feed the largest price
increase in this markets history. The price increase for pellets, FOB Tubarão, was 86.67%, and for
lumps, 79%.
Our sales of iron ore and pellets broke another record in 2005, with 252.189 million tons,
providing gross revenue of R$ 23.4 billion, 66.1% of the Companys total revenue, and 50.3% more
than in 2004.
China, the worlds largest importer of iron ore, bought 56.530 million tons from CVRD, 22.4% of the
Companys total sales. Japan bought 25.250 million tons, or 10.0% of CVRDs total shipments, and
Germany 24.555 million tons, 9.7%. These were followed in order of magnitude by France, with 4.7%,
South Korea with 4.2%, and Italy with 3.9%. Sales to steel industry and pig iron producers in
Brazil totaled 45.644 million tons, 18.1% of the Companys total sales.
CVRD celebrated the fiftieth anniversary of its first shipment of Brazilian iron ore to Japan. This
completed half a century of mutual respect, confidence and achievements in this trading partnership
with the Japanese steelmakers for CVRD a period of growth while taking part in the economic
development of Asia.
In 2005 CVRD signed important new contracts for sale of iron ore and pellets, for a volume of 235
million tons, with average maturity of seven years.
Page: 38
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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09.02 CHARACTERISTICS OF THE BRANCH OF ACTIVITY
In contrast to the behavior of other minerals and metals, there was oversupply in the market for
manganese ferroalloys, caused by an excessive response by producers to stimuli caused by price
rises, which increased world production by 18.6% in 2004. As a result, prices of alloys began to
fall in the fourth quarter of 2004 and continued falling in 2005. Prices of manganese ore,
primarily used in production of alloys, began to fall after a lag of about six months.
In 2005 CVRD produced 3.032 million tons of manganese ore, and 563,000 tons of alloys.
Since most of the output of manganese ore is used internally to produce alloys, sales of this ore
to clients totaled 907,000 tons, while shipments of alloys totaled 547,000 tons. The total gross
revenue from these sales was R$ 1.488 billion.
EBITDA from CVRDs ferrous minerals business was R$ 13.582 billion, or 81.3% of the Companys total
cash generation.
The Aluminum Chain Bauxite, Alumina, Primary Aluminum
CVRDs output of products in the aluminum chain also broke records in 2005: 6.9 million tons of
bauxite, 2.6 million tons of alumina, and 496,000 tons of primary aluminum. Currently all of CVRDs
production of bauxite corresponds to its 40% take proportional to its stake in the output of
Mineração Rio do Norte, which totaled 17.2 million tons in 2005.
In line with our strategic focus, we are developing the Paragominas bauxite mine in the state of
Pará, Brazil, scheduled to start production in the first quarter of 2007. Phases I and II (to be
concluded in 2008) will supply the expansion of output of alumina that will result from the
construction of stages 4, 5, 6 and 7. In 2008 Paragominas will have capacity to produce 9.9 million
tons per year of bauxite, while the alumina refinery will have nominal capacity of 6.4 million tons
per year. With stages 4 and 5, inaugurated in the first quarter of 2006, Alunorte has already
become the worlds largest alumina refinery.
Gross revenues from sales of these products to clients in 2005 totaled R$ 3.857 billion, with
EBITDA of R$ 1.446 billion, 8.7% of CVRDs total cash generation in the year.
Non- Ferrous Minerals
2005 was the year in which CVRD consolidated its entry into the copper market it was the first
full year of operation of the Sossego mine, and sales were made to 13 clients in 11 countries.
Sossegos production has already grown to more than 100,000 tons of copper concentrate, totaling
107,000 tons in 2005. Copper concentrate shipments generated gross revenues of R$ 937 million.
Work was begun on the hydrometallurgical plant in Carajás, located close to the Sossego mine, with
capacity to produce 10,000 tons per year of copper cathode. The aim of this plant is to test the
hydrometallurgical route technology for processing copper ore. If its efficiency is proven, not
only will it be able to process the ore to be produced in the future by the Salobo and Alemão
deposits, but the process will also become a major technological step forward for the copper
industry.
Page: 39
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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09.02 CHARACTERISTICS OF THE BRANCH OF ACTIVITY
Production of potash, an important raw material in the fertilizers industry, was 641,000 tons,
another record, and sales were 640,000 tons. The corresponding gross revenues were R$ 359 million.
The conclusion of the expansion capacity at the Taquari-Vassouras mine to 850,000 tons will give
rise to further sales growth in 2006.
The combination of the kaolin assets, PPSA and Cadam, boosted sales of this product. They have a
major competitive differential in the diversity of products that can be produced, resulting from
the flexibility provided by world-class deposits. This has increased the potential for development
of different products, putting us in a position of being able, in the future, to supply the various
segments of the paper industry.
Our kaolin output in 2005 totaled 1.218 million tons. PPSA produced 517,000 tons and Cadam
701,000 tons.Sales also totaled 1.218 million tons, and produced gross revenues of R$ 428 million.
EBITDA from non-ferrous minerals was R$ 427 million, 2.6% of CVRDs total 2005 cash generation.
With the addition of the nickel and copper projects, the non-ferrous minerals division of our
business is likely to make a larger contribution to CVRDs EBITDA in the future.
Coal
Our entry into the nickel and coal business will complement the portfolio of products we currently
supply to our clients in the steel industry various types of iron ore, pellets and
ferro-manganese alloys.
The first shipment of anthracite coal 40,000 tons produced by Henan Longyu Energy Resources Ltd
(Longyu) in China, in which CVRD has a 25% stake in association with Chinese companies, arrived at
Praia Mole terminal in Vitória, in the state of Espírito Santo, Brazil, in January 2006. Longyu
produced 2.68 million tons of coal products in 2005 and plans to produce 4.5 million in 2006. CVRD
received equity income from this joint venture in the amount of R$ 23 million in 2005.
CVRD adquired a 25% stake in the Shandong Yankuang International Coking Co., in association with
Yakuang Group Co. and Itochu Corporation, to produce metallurgical coke. CVRD will invest
approximately US$ 27 million in this joint venture.
The industrial plant which will have annual capacity for two million tons of coke, and 200,000
tons of methanol as byproduct is under construction in the province of Shandong, China, and the
start-up is estimated for the first half of 2006.
Meanwhile, CVRD is making studies for developments of two other coal deposits: (i) an economic
feasibility study of the Moatize deposit in Mozambique, where it is estimated to be possible to
produce 14 million tons of metallurgical and energy-producing coal for 70 years; and (ii) an
exploratory study of the Belvedere underground coal deposit, in Queensland, Australia, estimated at
2.7 billion tons.
Logistics Services
As a consequence of a considerable volume of investment, CVRD is now the largest supplier of
logistics services in Brazil, being responsible for 68% of the cargo hauled on railroads and 27% of
the volume handled in ports.
Page: 40
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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09.02 CHARACTERISTICS OF THE BRANCH OF ACTIVITY
CVRDs role in transporting Brazilian agricultural output has been growing in importance: in 2005
we carried 10.7 million tons of soybeans, soy meal, sugar, fertilizers and other products, helping expand
Brazils farming frontiers, in the North and Center-West. CVRD was responsible for the handling
including railroad transportation and port services of 18% of Brazilian soybeans exports and 9%
of the volume of fertilizer imports in 2005.
CVRD has also taken a leading position in coastal shipping for industrial products and consumer
goods, and was also the leading company in maritime freight between Brazil and Argentina in 2005.
CVRD invested R$ 1.8 billion in 2005 in expansion and improvement of its logistics infrastructure,
and in the acquisition of 5,414 wagons and 125 locomotives for the haulage of its own products and
of general cargo on the Carajás (EFC), Vitória a Minas (EFVM) and Ferrovia Centro-Atlântica (FCA)
railroads.
CVRDs railroads carried a total of 28.379 billion net ton-kilometers (ntk) in 2005 another
record led by steel industry inputs and products, 44.2% of the total; agricultural products,
37.8%, and building material and forestry products, 8.0%.
EFVM carried 13.304 billion ntk, EFC 3.024 billion ntk, and FCA 10.329 billion ntk. The affiliated
company MRS Logística carried 1.722 billion ntk in 2005.
Safety in operations is an important aspect of CVRDs strategy, the aim being to minimize risks to
life, loss of assets and loss of cash flow generation. The number of accidents on the three
railroads controlled by CVRD EFVM, EFC, FCA has been continuously falling, as a result of the
focus on safety.
Logistics services to clients provided gross revenues of R$ 3.291 billion, 9.3% of CVRDs total
revenues. Of this amount, rail haulage of general cargo provided R$ 2.405 billion, 73%, port
services R$ 490 million, 15%, and coastal shipping and port support services R$ 396 million, or
12%.
The logistics services generated EBITDA of R$ 1.217 billion, 7.3% of CVRDs total EBITDA in 2005.
Eletricity Generation
In 2005 CVRD consumed 16.9 TWh of electricity, or 4.4% of Brazils total nationwide consumption.
The cost of this electricity consumption was R$ 1.4 billion, 8.7% of CVRDs costs of goods sold.
Reflecting the energy-intensive nature of primary aluminum production, operations with aluminum
products accounted for 53% of CVRDs total electricity consumption, ferrous minerals 43%,
non-ferrous minerals 3%, and logistics, which uses mainly diesel fuel, 1%.
CVRDs eletricity generation take from hydroelectric power plants in which it is a shareholder
Igarapava, Porto Estrela, Funil, Candonga, Aimorés met 9% of its total consumption needs. We
estimate the saving in costs provided by the investments in self-generation of electricity in 2005
at R$ 110 million. This contribution will increase in 2006 with the generation of electricity by
Aimorés for the whole twelve months of the year, and the startup of Capim Branco I in February.
Page: 41
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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09.02 CHARACTERISTICS OF THE BRANCH OF ACTIVITY
The Capim Branco II hydroelectric power plant, in the state of Minas Gerais, is in construction
phase, with generation scheduled to start in 2007. Works on the Estreito hydroelectric power plant
have not yet begun.
Another important movement to reduce the cost of electricity has been the migration of retail
electricity supply contracts from the so-called captive market, in which the consumer does not have
the right to choose the supplier nor negotiate prices, to the free market, where there is more
flexibility to negotiate better cost conditions. Transactions in the captive market as a percentage
of the total of electricity received by CVRD have been reduced from 75.6% in 2003 to 18.1% in 2005.
CVRDs strategy is to centralize management of all energy inputs essential to its production,
seeking the best sources of energy generation at the lowest possible cost.
Research and Development
Our research and development (R&D) program is an integral part of our growth strategy, and focuses
on finding new world-class products and making them technologically feasible for future
development, continuing the process of creation of value over the long term.
Since 2003 CVRD has significantly increased its spending on R&D, reflecting the strategic directive
that chose organic growth as the main driver of shareholder value creation.
We have simultaneously expanded the scope of exploration, which was previously concentrated on the
discovery of copper, gold and manganese in the Carajás region. Our mineral exploration program in
recent years extends to other products such as coal, nickel, bauxite, potash and phosphate not
only in several other states of Brazil, but also in 15 countries in five continents.
As a result of this strategic change, CVRD now has a global portfolio of projects, with studies at
different stages of progress, for the development of deposits of potash, phosphate, nickel,
manganese and coal.
Projects currently under study include development of the coal fields at Moatize, in Mozambique,
now at an advanced stage we expect the feasibility study to be completed in 2006.
CVRD spent a total of R$ 672 million on R&D in 2005. This involved expenditure associated with the
development of mineral deposits already identified, application of technological innovations, and
the discovery of new mineral deposits. An example of the Companys efforts in planting seeds for
long-term growth is that it made 275,000 exploratory drill holes in 2005.
Of the total invested, 61% was spent in Brazil of this, 80% in the state of Pará, 11% in the
state of Minas Gerais and 9% in other regions. The remaining 39% was spent in a wide range of
countries in South America, Africa, Asia and Australia.
Page: 42
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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Financing growth while preserving financial strength The achievement of investment grade
CVRDs strong cash flow generation has enabled it to finance its growth initiatives, allowing
projects to be assessed and approved in accordance with their merit. At the same time, it has been
possible to make a good distribution of dividends to CVRD shareholders. In the last five years the
total value of investments and dividend payments have totaled approximately R$ 40 billion, and this
has been achieved simultaneously with strengthening of the Companys balance sheet.
In 2005 CVRD achieved one of its most important goals: investment grade rating. This overturned a
paradigm the previous belief that a companys risk classification was limited to the sovereign
risk of its host country. CVRD became the first company controlled by Brazilian shareholders to
obtain investment grade rating, and the only company in Brazil to be rated investment grade by
three of the worlds most important rating agencies: Standard & Poors (BBB), Moodys (Baa3) and
Dominion Bond Rating Services (BBBlow).
The importance of this achievement derives from its implications for the reduction of CVRDs cost
of capital a critical factor in the mining industry, which is capital-intensive improving the
conditions for financing of expansion of CVRDs activities, and consequently the process of value
creation for its shareholders.
CVRDs total debt by the US GAAP consolidation concept on December 31, 2005, was US$ 5.010 billion,
an increase of US$ 922 million from its debt of US$ 4.088 billion on December 31, 2004.
Gross debt/EBITDA, however, was reduced from 1.10x on December 31, 2004 to 0.77x on December 31,
2005. Total debt/enterprise value was reduced from 11.8% to 10.1%; and interest coverage, measured
as EBITDA/interest paid increased from 12.41x at the end of 2004 to 25.95x at the end of 2005.
Net debt at the end of 2005 was US$ 3.969 billion, with a cash position of US$ 1.041 billion. As
well as cash and cash equivalents, CVRD has the potential for additional liquidity provided by
committed bank credit lines totaling US$ 750 million.
The average tenor of debt on December 31, 2005 was 7.89 years, which compares with 6.83 years at
end of 2004. Of the total debt, 60% was at floating interest rates and 40% at fixed rates. The
positive correlation between prices of aluminum and copper and Libor constitutes a natural hedge
against variation in floating interest rates.
CVRDs debt management policy aims to reduce its refinancing costs and risks. In this context, the
development of liquid markets for the Companys bonds and maintenance of a dynamic stance in
relation to management of liabilities are very important.
In October 2005, the Company issued another tranche of CVRD 2034, 8.25% annual coupon, totaling US$
300 million. This increased the CVRD 2034 maturity to US$ 800 million, giving investors better
liquidity, thus contributing to the bonds attractiveness.
In January 2006 CVRD issued a total of US$ 1 billion in CVRD 2016, a bond with 10-year tenor, and
6.250% annual coupon, and yield to investor of 6.254% per year. The cost of this issue reflected
the improvement of risk perception expressed by the investment grade rating.
Over the period from fourth quarter 2004 to early 2006 CVRD repurchased US$ 600 million of its debt
carrying higher interest rates and of lower duration. In the last of these repurchases,
simultaneously with the issue of CVRD 2016, the Company acquired US$ 176 million of its CVRD 2013
bond, which was issued with coupon of 9.000% per year.
Page: 43
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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Confidence in the future of the markets
2005 was a very good year for the mining and metals industry, reflecting the long cycle derived
from the economic development process in China, and growth of more than 4% in the global economy.
With the exception of manganese alloys, in which oversupply reduced prices, all of CVRDs products
iron ore, pellets, bauxite, alumina, aluminum, copper concentrate, potash and kaolin benefited
from price increases, which in turn reflected the strong expansion of world consumption.
With a solid outlook, the world economy is now expanding faster than 4% per year, with the
developed countries the US, the Europe 15, and Japan growing at 3% and the emerging economies
of Asia, Latin America and Eastern Europe at 6%.
In Brazil, the obtaining of successive primary fiscal surpluses and the austerity in monetary
policy contributed to creation of an environment of greater stability, favorable to growth in the
economy. Expansion of exports and the firm liquidity of international financial markets were also
factors in the significant improvement in Brazils balance of payments, reducing the countrys
vulnerability. Based on these factors, we expect to see a better performance in the economy in
2006.
Industrial production indicators worldwide point to solid and more balanced expansion in the coming
quarters. The global scenario provides a basis for expectation of continuing strong demand for
minerals and metals.
Considerable imbalances continue to exist between global demand and supply for iron ore and
alumina, and in spite of the additional capacity starting up in the coming months and other
projects in progress, we believe these imbalances will not be eliminated in the short term.
Our systematic operation at full capacity increases the probability of production downtime, and
with the restriction on supply of replacement parts and inventories at a historically low level,
the impact of production problems on prices tends to be magnified. This has been important, for
example, in the copper market, imposing an upward bias on prices.
Particularly for metals, the growing flow of financial resources into funds investing in
commodities, resulting from the allocation of pension funds to this class of assets, has now begun
to constitute a new source of demand, pressuring prices.
09.02 CHARACTERISTICS OF THE BRANCH OF ACTIVITY
The Brazilian agricultural crop is forecast to be 9.3% larger this year than last year, when it was
harmed by drought in the countrys southern region. This reversal will have a positive impact on
the performance of CVRDs sales of potash and logistics services.
Summing up, we continue to be confident that the strong demand for minerals and metals, coming,
principally, from China, will continue. We are working hard to increase the supply of iron ore,
pellets, alumina, coal, copper and nickel in the coming years.
Promoting growth: The private company that invests most in Brazil
Page: 44
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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The world class quality of CVRDs assets, characterized by the long life of its reserves and
relatively low exploration costs, synergies with efficient logistics infrastructure, and
continuation of growth in global demand for minerals and metals, leads to higher than expected
returns on its capital, providing reasons and encouragement for expanding our volume of new
investment.
CVRDs capital expenditure in the five years 20012005 has totaled R$ 28.4 billion establishing
it as the private-sector company that most invests in Brazil.
Numerous projects have been completed. Highlights are: the new iron ore mines, Fábrica Nova and
Capão Xavier; the Sossego copper mine; the pelletization plant at São Luís; expansions of
production capacity in iron ore at the Carajás mines, in potash at the Taquari-Vassouras mine, in
bauxite at the Trombetas mine and at the Alunorte alumina refinery; the conversion of the Mo I Rana
alloys plant in Norway; construction of four hydroelectric power plants Funil, Porto Estrela,
Candonga and Aimorés; and Pier III of the Ponta da Madeira maritime terminal.
Investments in logistics have increased the haulage capacity of our railroads the EFC, EFVM and
FCA and the handling capacity of our port terminals. In the last three years CVRD has bought
11,565 wagons and 262 locomotives.
CVRDs capital expenditure in 2005 was R$ 10.1 billion, an all-time record. R$ 6.5 billion was
spent on organic growth R$ 5.8 billion in projects and R$ 700 million in research and development
while R$ 1.8 billion was spent on sustaining existing operations (stay-in-business capex), and
R$ 1.8 billion on acquisitions.
The Company acquired the total capital of Canico Resources Corp., a Canadian mining company owning
the Onça Puma laterite nickel project in the state of Pará, Brazil. CVRD intends to start
developing this project in 2006. It has several areas of synergy with the Vermelho project, the
Companys first nickel project, located in Carajás, Brazil.
The Companys planned capital expenditure in 2006 is R$ 11.8 billion. Of this total, R$ 7.8 billion
is planned to be spent on new mines and plants, and expansion of capacity of existing assets; R$
1.3 billion on research and development; and R$ 2.7 billion on maintanance of the existing asset
base.
CVRD will be investing US$ 211.1 million in research and development in several countries in
South America, Africa, Asia and Australia seeking new mining deposits and making feasibility
studies for the development of minerals reserves already identified.
09.02 CHARACTERISTICS OF THE BRANCH OF ACTIVITY
Among projects in the capital expenditure budget are: six expansions of iron ore production
capacity in Carajás, in the state of Pará, and in the Southern System Brucutu, Fábrica,
Fazendão and Itabira, in the state of Minas Gerais; the construction of two new pelletization
plants, Itabiritos and Tubarão VIII in Minas Gerais and Espírito Santo respectively; the 118 copper
mine; the Vermelho and Onça Puma nickel mines, the Paragominas bauxite mine, and stages 6 and 7 of
the Alunorte alumina refinery all in the state of Pará; and construction of two hydroelectric
power plants, Capim Branco I and Capim Branco II, both in the state of Minas Gerais.
Planned capital expenditure on logistics services is budgeted at R$ 1.2 billion, mainly including
the purchase of a further 1,426 wagons and 22 locomotives. R$ 51 million will be allocated for the
engineering project of the 165 km Litorânea Sul extension of the FCA, linking Flexal to Cachoeiro
do Itapemirim in the state of Espírito Santo, Brazil, in a partnership between CVRD and that
states government. Construction
of this line will begin after the project obtains environmental licenses and approval from the
Brazilian Regulatory Agency for the Transportation Sector (ANTT).
Page: 45
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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We also have projects in progress to expand the capacity of our principal iron ore port terminals
Ponta da Madeira, in the state of Maranhão; Tubarão, in Espírito Santo; and Guaíba Island and
Sepetiba in the state of Rio de Janeiro.
As well as investing directly, CVRD has sought to attract investment to the Brazilian steel
industry, to foster domestic consumption of iron ore, and to boost the sectors development. Brazil
is highly competitive in steel production and there is still scope for new projects. These also
represent opportunities for increasing Brazils market share of the world steel market.
Two projects to produce steel slabs, with estimated total investment of US$ 2.8 billion, are in
progress with timetables over the next three years. They will have important economic and social
effects on the regions where they will be located the states of Ceará, in Brazils Northeast
(Ceará Steel), and Rio de Janeiro (Companhia Siderúrgica do Atlântico).
With significant investment, CVRD will continue to pursue the path of value creation for its
shareholders, a process that can simultaneously produce considerable social benefits, by generating
thousands of jobs, opportunities for social and economic mobility, and expansion of Brazils
exports.
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FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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10.01 MAIN PRODUCTS AND/OR SERVICES
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Iron Ore |
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FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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11.01 PRODUCTION PROCESS
Iron Ore
Integrated Systems
Our iron ore mining and related operations are concentrated in three systems in Brazil, the Southern System, the Northern System
and the MBR System. The Southern System is located in the states of Minas Gerais, Espírito Santo and Rio de Janeiro, and the
Northern System is located in the states of Pará and Maranhão. Each of our Northern and Southern Systems includes iron ore
reserves and other mineral deposits, mines, ore processing facilities and integrated railroad and terminal transportation
facilities. Our railroads connect the Northern System mines to the Ponta da Madeira Maritime Terminal Complex and the Southern
System mines to the Tubarão Maritime Terminal Complex. A small part of the iron ore produced in our Southern System is
transported via MRS Logística, a railway company in which we have, directly and indirectly, 37.2% of the voting capital and
40.5% of the total capital, to our wholly owned CPBS maritime terminal (Sepetiba terminal). The operation of these separate
systems, each with its own transportation capability, enhances the reliability of service to our customers. We also operate the
MBR System which similarly contracts freight services from MRS Logística to transport all of its products from its mines in the
Iron Quadrangle region in the state of Minas Gerais, to the Guaiba Island maritime terminal in the state of Rio de Janeiro.
Southern System
The Southern System is an integrated system consisting of iron ore mines, the Vitória a Minas railroad, and the Tubarão Maritime
Terminal (located in Vitória, in the state of Espírito Santo). The iron ore mines of the Southern System are divided into four
mining areas (Itabira, Centrais Mines, Mariana and Oeste Mines) and located in a region called the Iron Quadrangle in the state
of Minas Gerais, in the southeast of Brazil. The Southern System is accessible by road or by spur tracks of the Vitória a Minas
railroad.
Iron ore in the Southern System is mined by open pit methods. These ore reserves have high ratios of itabirite ore relative to
hematite ore. Itabirite is a quartz-hematite rock with an average iron content ranging from 35% to 60% requiring concentration
to achieve shipping grade, which is above a 64% average iron content. Hematite is a high-grade ore with an average iron content
of approximately 66%. Mines in the Southern System generally process their run-of-mine by means of standard crushing,
classification and concentration steps, producing sinter feed, lump ore and pellet feed in the beneficiation plants located at
the mining sites.
In 2005, we produced 53% of the electric energy consumed in the Southern System at our Igarapava, Porto Estrela, Funil, Candonga
and Aimorés hydroelectric power plants
Northern System
The Northern System is an integrated system, including open pit mines and an ore processing complex in the Carajás region, in
the state of Pará, the Carajás railroad and the Ponta da Madeira Maritime Terminal, in the state of Maranhão. The mines are
located in the north of Brazil (in the Amazon river basin) on public lands for which we hold mining concessions. The Northern
Systems reserves are among the largest iron ore deposits in the world. These reserves are divided into two main ranges (north
and south), situated approximately 35 kilometers apart. Iron ore mining activities in the Northern System are currently being
conducted in the northern range, which is divided into five main mining bodies (N4E, N4W, N5W, N5E and N5EN). Industrial scale
mining operations began in 1985.
Page: 48
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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11.01 PRODUCTION PROCESS
Because of the high iron content (66.8% on average) in the Northern System, we do not have to operate a concentration plant at
Carajás. The beneficiation process consists simply of sizing operations, including screening, hydrocycloning,
crushing and
filtration. This allows us to produce marketable iron ore in the Northern System at a lower cost than in the Southern System.
Output from the beneficiation process consists of sinter feed, pellet feed, special fines for direct reduction processes and
lump ore. After the beneficiation process, our Carajás railroad transports Northern System iron ore to the Ponta da Madeira
Maritime Terminal.
Our complex in Carajás is accessible by road, air and rail. It obtains electrical power at market rates from regional utilities.
To support our Carajás operations we have housing and other facilities in a nearby township
Pellets
In March 2006, we temporarily suspended operations of our São Luís pelletizing plant. Whereas we continue to see a persistent
global excess demand for iron ore fines and lumps, with expansion in demand mainly driven by China, the seaborne demand for
pellets, which is more concentrated in North America and Europe, has subsided. We expect to resume operations at our São Luis
pelletizing plant as soon as the current level of excess inventories is eliminated.
We sell pellet feed to our pelletizing joint ventures at market-based prices. Historically, we have supplied all of the iron
ore requirements of our wholly owned pelletizing plants and our joint ventures, except for Samarco and GIIC, to which we supply
a portion of their needs. Besides blast furnace pellets, some of the pellets we and our pelletizing joint ventures produce are
direct reduction pellets, which are used in steel mills that use the direct reduction process rather than blast furnace
technology.
We are the operator of the pelletizing joint ventures located in the Tubarão Port area. In 2005, we received US$66 million in
fees for operating these joint ventures.
Potash
We conduct our potash operations at the parent company level. We lease a potash mine (Taquari-Vassouras mine) in Rosario do Catete,
in the state of Sergipe, Brazil, from Petrobras Petróleo Brasileiro S.A. (Petrobras), a Brazilian state-owned oil company. The
lease was signed in 1991 for a period of 25 years, and is renewable for another 25 years. The mine is the only potash mine in Brazil
and has a current nominal capacity of 850,000 tons per year. Taquari Vassouras is an underground mine with a depth that varies from
430 to 640 meters. In 2005, we produced 641 thousand tons of potash with total shipments of 640 thousand tons, and we had gross
revenues of US$149 million. All sales from Taquari Vassouras mine are destined for the Brazilian market.
Copper
Sossego is our first copper mine and began commercial production of copper concentrate in June 2004. The Sossego copper mine is
located in Carajás, in the state of Pará. We conduct our Sossego operation at the parent company level. In 2005, we shipped
398 thousand tons of copper concentrate and we had gross revenues of US$391 million.
Page: 49
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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11.01 PRODUCTION PROCESS
The Sossego copper mine has two main ore bodies, Sossego and Sequeirinho. The copper ore is mined by open pit method and the
run-of-mine is processed by means of standard primary crushing and conveying, SAG milling (a semi-autogenous mill which uses a
large rotating drum filled with ore, water and steel grinding balls which transforms the ore into a fine slurry), ball milling,
copper concentrate flotation, tailings disposal, concentrate thickening, filtration and load out. Projected annual operating
capacity is 15 million tons of run-of-mine, to produce an average of 140,000 tons of copper contained in concentrate (30%
grade). The operation is still in the ramp-up process, which will continue throughout 2006. The ramp-up phase has been longer
than expected because of operational challenges requiring equipment changes. The concentrate is trucked to a storage terminal
in Parauapebas and then transported via the Carajás railroad to the Ponta da Madeira maritime terminal in São Luís, in the state
of Maranhão.
We have constructed an 85-kilometer road to link Sossego to the Carajás air and rail facilities and a power line that allows us
to purchase electrical power at market rates. We have a long-term energy supply contract with Eletronorte, which sells us
energy from the Tucuruí hydroelectric power plant located on the Tocantins river.
We have four copper projects: Salobo, Cristalino, Alemão and 118. Salobo, in which we own a 100% stake, has a feasibility study
in progress, Cristalino, in which we own a 50% stake, has a pre-feasibility study concluded and Alemão, in which we own a 67%
stake, has a pre-feasibility study in progress. BNDES is our partner in Cristalino and Alemão. In addition, we and BNDES are
prospecting the Carajás region for new copper exploration projects. See Item 4. Information on the CompanyLines of
BusinessMiningMineral Risk Contract.
We are constructing a semi-industrial plant to process copper using the hydrometallurgical route. The objective of this plant,
which will have capacity to produce 10,000 tons of copper cathodes per year, is to test a new technological route to produce the
metal from copper sulphide concentrates. We will use copper concentrate from the Sossego mine to feed the plant, which is
expected to start up by the second quarter of 2007 and be productive for two years. We estimate that this period will be
sufficient to prove the feasibility of industrial production through the hydrometallurgical route, supporting the construction
of a larger plant to process copper ore from other deposits owned by CVRD, including the Salobo project. The capital
expenditures estimated for the construction of this semi-industrial plant amount to US$58 million.
In October 2005, our Board of Directors approved our investment in the 118 copper mining project, located in the state of Pará,
Brazil. In 2005, in compliance with the Mineral Risk Contract we have with BNDES, we have entered into a specific agreement
with BNDES, which establishes that CVRD shall pay to BNDES a specified percentage of 118 net revenues that varies in accordance
with copper market prices. As an example, if the copper price on the London Metal Exchange is US$1.00 per pound, we must pay
3.8% of 118 net revenues to BNDES. We currently estimate that capital expenditures for the project will amount to approximately
US$232 million and have targeted startup for the first half of 2008. The estimated production capacity of the project is 36,000
tons of copper cathode per year.
Page: 50
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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11.01 PRODUCTION PROCESS
Railroads
Vitória a Minas railroad. The Vitória a Minas railroad links our Southern System mines in the Iron Quadrangle region in the
state of Minas Gerais with the Tubarão Port, in Vitória, in the state of Espírito Santo. We operate this 905-kilometer railroad
under a 30-year renewable concession, which expires in 2027. The Vitória a Minas railroad consists of two lines of track
extending for a distance of 601 kilometers to permit continuous railroad travel in opposite directions, and single-track
branches of 304 kilometers. Industrial manufacturers are located near this area and major agricultural regions are adjacent and
accessible to the Vitória a Minas railroad. The Vitória a Minas has a daily capacity of 312,000 tons of iron ore. In 2005, the
Vitória a Minas railroad carried a total of 68.7 billion ntk of iron ore and other cargo (of which 18.3 billion ntk, or 26.7%,
consisted of cargo transported for customers, including iron ore for Brazilian customers). The Vitória a Minas railroad also
carried approximately 1.1 million passengers in 2005.
The principal cargo of the Vitória a Minas railroad consists of:
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We charge market rates (which are limited by the tariffs fixed by ANTT) for customer freight, including pellets originating from
joint ventures and other enterprises in which we do not own 100% of the equity interest. Market rates vary based upon the
distance traveled, the kind of product and the weight of the freight in question.
Carajás railroad. We operate the Carajás railroad under a 30-year renewable concession, which expires in 2027. This railroad,
located in the Northern System, starts at our Carajás iron ore mine in the state of Pará, and extends 892 kilometers to our
Ponta da Madeira Maritime terminal complex facilities located near the São Luís Port in the state of Maranhão. The Carajás
railroad consists of one line of track, with spur tracks and turnouts to permit the passage of trains in opposite directions.
The Carajás railroad has a daily capacity of 200,000 tons of iron ore. In 2005, the Carajás railroad carried a total of 69.5
billion ntk of iron ore and other cargo (of which 5.0 billion ntk, or 7.2%, consisted of cargo transported for customers,
including iron ore for Brazilian customers). The Carajás railroad also carried approximately 369 thousand passengers in 2005.
The main cargo of the Carajás railroad consists of iron ore, principally carried for us. In the third quarter of 2006, we also
intend to begin operations of the largest capacity train in Latin America. This train, which will have 312 cars, measures 3.2
kilometers long and weigh 319 gross tons, will help us meet the growing demand for sources of the Carajás railroad.
Ports and Terminals
We operate ports and terminals principally as a means to complete the distribution of our iron ore and pellets to seaborne vessels
serving the export seaborne market. See Item 4. Information on the CompanyLines of BusinessMiningFerrous
MineralsPelletsDistribution (Iron Ore and Pellets). We also use our ports and terminals to handle third-party cargo. In 2005, 19%
of the cargo handled by our ports and terminals represented cargo handled for third parties.
Page: 51
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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11.01 PRODUCTION PROCESS
Tubarão Port. The Tubarão Port, which covers an area of approximately 18 square kilometers, is located near the Vitória Port in
the state of Espírito Santo. The iron ore maritime terminal located in this area has two piers. Pier I can accommodate two
vessels at a time, one of up to 170,000 DWT on the southern side and one of up to 200,000 DWT on the northern side. Pier II can
accommodate one vessel of up to 360,000 DWT at a time, limited at 20 meters draft plus tide. In Pier I there are two ship
loaders, which can load up to a combined total of 14,000 tons per hour. In Pier II there are two ship loaders that work
alternately and can each load up to 16,000 tons per hour. In 2005, 84.1 million tons of iron ore and pellets were shipped
through the terminal for us. Praia Mole Terminal, also located in the Tubarão Port, is principally a coal terminal and handled
11.3 million tons in 2005. We operate a grain terminal called Terminal de Produtos Diversos, in the Tubarão area, which handled
5.5 million tons of grains and fertilizers in 2005. We also operate a bulk liquid terminal that handled 1.1 million tons in
2005.
Vitória Port. Until September 2006, CVRD is authorized to operate the Paul Terminal, which specializes in pig iron handling and
is located near the Vitória Port, in the state of Espírito Santo. This terminal has one pier that can accommodate one vessel of
up to 75,000 DWT, which can load up to 900 tons per hour. The Paul Terminal handled 2.2 million tons of pig iron in 2005.
Ponta da Madeira maritime terminal. The Ponta da Madeira maritime terminal is located near the Itaqui Port in the state of
Maranhão. The terminal facilities can accommodate three vessels. Pier I can accommodate vessels displacing up to 420,000 DWT.
Pier II can accommodate vessels of up to 155,000 DWT. The two berths have a maximum loading rate of 16,000 tons per hour at
Pier I and 8,000 tons per hour at Pier II. In February 2004, Pier III began operations. Pier III has two berths, can
accommodate vessels of up to 220,000 DWT and has a maximum loading rate of 8,000 tons per hour in each berth.
Cargo shipped through our Ponta da Madeira maritime terminal consists principally of our own iron ore production. Other cargo
includes manganese ore and copper concentrate produced by us and pig iron and soybeans for third parties. In 2005, 70.1 million
tons were handled through the terminal for us and 4.3 million tons for customers.
Page: 52
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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11.02 COMMERCIALIZATION, DISTRIBUTION PROCESS, MARKETS AND EXPORTATION
CVRD has a team of employees specially trained to interact with customers from different segments and cultures, with distinct
needs. The success of customer relations is a reflection of the high quality of its products and services and its strategy of
supplying tailor-made solutions to each company.
The plentiful mineral reserves and integrated ore production, loading and transport systems enable CVRD to expedite supplies
of high-quality products for any process existing in the world. In the logistics area, the Company generates value for its
customers based on integrated and customized solutions. All operations are supported by the latest technology and by CVRDs
own assets, such as strategically located railroads and port facilities.
In 2004, close to 17 thousand companies of all sizes supplied goods and services to Companhia Vale do Rio Doce, generating
jobs throughout Brazils diverse regions. The CVRD Purchasing Departments rules of conduct stress a standard for relations
with suppliers based on transparency, fairness and ethical behavior, with strong stimulus for growth and increased
competitiveness. CVRD makes a practice of building strong partnerships, so as to develop working processes that strictly
follow applicable legislation and contemplate relevant aspects in the Economic, Social, Environmental and Occupational Health
and Safety Areas.
Contracts signed with service providers include clauses establishing the obligation of the contractor to fully comply with all
job safety requirements, labor and social security legislation, including the strict prohibition of child labor in any Company
activity. With regard to outsourced workers and professionals, CVRD maintains well defined contractual relations and follows
the rules of labor and social security co-responsibility as practiced in Brazil.
Strongly committed to the socioeconomic advancement of the regions where it operates, CVRD sponsors programs to develop
suppliers in the states of Espírito Santo, Maranhão, Minas Gerais and Pará, in partnership with state and municipal governments,
trade associations, industrial federations and other public groups of the Third Sector.
Operating abroad in the sale of CVRDs iron ore are:
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ð |
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Rio Doce International S.A.: a CVRD subsidiary, operates as an agent in Europe; |
|
|
ð |
|
Rio Doce Asia Kabuschiki Kaisha: a CVRD subsidiary, operates as an agent in Asia; |
|
|
ð |
|
CVRD Overseas: an indirect subsidiary of CVRD dedicated to sales to the Companys six largest customers, located in
Europe, the United States and Asia, through securitization; |
|
|
ð |
|
Itabira International Company Limited: a CVRD subsidiary, it is engaged in the sale of iron ore to foreign
customers. |
Page: 53
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
11.02 COMMERCIALIZATION, DISTRIBUTION PROCESS, MARKETS AND EXPORTATION
Such distribution is made through railroad transportation, port terminals and ocean transportation. CVRDs export sales generated gross operating
revenues as follows over the past three years:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
IN MILLIONS OF REAIS |
|
EXPORT SALES |
|
2005 |
|
|
2004 |
|
|
2003 |
|
Operating income |
|
|
18,098 |
|
|
|
13,785 |
|
|
|
10,367 |
|
Export sales |
|
|
11,694 |
|
|
|
8,985 |
|
|
|
6,626 |
|
Percentage |
|
|
65 |
|
|
|
65 |
|
|
|
64 |
|
Sales to the various export markets were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
IN MILLIONS OF TONS |
|
EXPORT SALES - CVRD |
|
2005 |
|
|
% |
|
|
2004 |
|
|
% |
|
|
2003 |
|
|
% |
|
|
|
AMERICAS |
|
|
10.264 |
|
|
|
6,5 |
|
|
|
11.582 |
|
|
|
8,2 |
|
|
|
9.622 |
|
|
|
8,2 |
|
EUROPE |
|
|
61.687 |
|
|
|
39,3 |
|
|
|
59.683 |
|
|
|
42,4 |
|
|
|
48.530 |
|
|
|
41,5 |
|
JAPAN |
|
|
19.073 |
|
|
|
12,3 |
|
|
|
15.796 |
|
|
|
11,3 |
|
|
|
16.138 |
|
|
|
13,8 |
|
ASIA |
|
|
55.740 |
|
|
|
35,5 |
|
|
|
44.620 |
|
|
|
31,7 |
|
|
|
35.354 |
|
|
|
30,3 |
|
MIDDLE EAST, AFRICA AND OCEANIA |
|
|
10.093 |
|
|
|
6,4 |
|
|
|
9.043 |
|
|
|
6,4 |
|
|
|
7.265 |
|
|
|
6,2 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL |
|
|
156.857 |
|
|
|
100,0 |
|
|
|
140.724 |
|
|
|
100,0 |
|
|
|
116.909 |
|
|
|
100,0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Page: 54
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
11.03 COMPETITORS
In general, the international iron ore market is highly competitive. Several large producers
operate in this market. The principal factors affecting competition are price, quality, range of
products offered, reliability, operating costs and transportation costs. In 2005, the Asian market
(primarily China, Japan and South Korea) and the European market were the primary markets for our
iron ore.
Our biggest competitors in the Asian market are located in Australia and include subsidiaries
and affiliates of BHP Billiton PLC and Rio Tinto Ltd. Although the transportation costs of
delivering iron ore from Australia to Asian customers are generally lower than ours as a result of
Australias geographical proximity, we believe we are able to remain competitive in the Asian
market for two principal reasons. First, steel producers generally seek to obtain the types (or
blends) of iron ore that can produce the intended final product in the most economic and efficient
manner. Our iron ore has low impurity levels and other properties that generally lead to lower
processing costs. For example, the alumina content of our iron ore is very low compared to
Australian ore. Our ore also has high iron grade, which improves productivity in blast furnaces,
which is important during periods of high demand. Second, steel mills often develop sales
relationships based on a reliable supply of a specific mix of iron ore. We have a
customer-oriented marketing policy and place specialized personnel in direct contact with our
clients to determine the blend that best suits each particular client. We sell most of our
products FOB from our ports, which means that the invoice price includes delivery at our expense to
our ports and no further. In general, in the Northern and Southern Systems, our ownership of the
process of transporting iron ore to our ports makes it easier for us to ensure that our products
get to our ports on schedule and at competitive costs.
We are competitive in the European market for the reasons we described above, as well as the
proximity of the Ponta da Madeira and Tubarão port facilities to European customers. Our principal
competitors in Europe are:
|
|
|
Kumba Resources (South Africa); |
|
|
|
|
Luossavaara Kiirunavaara AB LKAB (Sweden); |
|
|
|
|
Sociétè Nationale Industrielle et Minière SNIM (Mauritania); |
|
|
|
|
Rio Tinto PLC (UK), Rio Tinto Ltd (Australia) and their subsidiaries and affiliates; and |
|
|
|
|
BHP Billiton (Australia) and its subsidiaries and affiliates. |
The Brazilian iron ore market is competitive with a wide range of smaller producers and
integrated steel producers such as CSN and Mannesmann. Although pricing is relevant, quality and
reliability are important competitive factors as well. We believe that our integrated
transportation systems, high-quality ore and technical services make us a strong competitor in
Brazilian sales. Prices to Brazilian customers are based on global reference prices discounted by
the transportation costs to their facilities. Therefore, prices to these clients are lower than to
customers located outside Brazil.
Page: 55
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
12.01 PATENTS, TRADEMARKS AND FRANCHISES
CVRDs numerous patents are fundamental in achieving its objectives for
technological research and development. The Company holds 522 patents: 366 of
these are in Brazil (210 of which have been granted and 156 are pending with
the National Institute of Intellectual Property INPI), while the remaining
156 are abroad (128 granted and 28 pending with the competent agencies).
Page: 56
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
14.01 COMPANY PROJECTIONS FUTURE PLANS/RESULTS: Nothing to report.
14.02 RECOMMENDABLE BUT NOT COMPULSORY INFORMATION: Nothing to report.
14.03 OTHER INFORMATION DEEMED IMPORTANT FOR A BETTER UNDERSTANDING OF THE COMPANY
(a) By type of asset:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Parent Company |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2005 |
|
|
2004 |
|
|
|
Average |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
deprecia- |
|
|
|
|
|
|
Accumulated |
|
|
|
|
|
|
|
|
|
tion rates |
|
|
Cost |
|
|
depreciation |
|
|
Net |
|
|
Net |
|
Buildings |
|
|
2,82 |
% |
|
|
1.942 |
|
|
|
(729 |
) |
|
|
1.213 |
|
|
|
1.068 |
|
Installations |
|
|
3,69 |
% |
|
|
7.695 |
|
|
|
(3.008 |
) |
|
|
4.687 |
|
|
|
3.492 |
|
Equipment |
|
|
9,52 |
% |
|
|
2.454 |
|
|
|
(927 |
) |
|
|
1.527 |
|
|
|
759 |
|
Information Technology Equipment |
|
|
20,00 |
% |
|
|
936 |
|
|
|
(311 |
) |
|
|
625 |
|
|
|
138 |
|
Railroads |
|
|
3,87 |
% |
|
|
7.799 |
|
|
|
(3.182 |
) |
|
|
4.617 |
|
|
|
3.216 |
|
Mineral rights (*) |
|
|
1,84 |
% |
|
|
1.323 |
|
|
|
(175 |
) |
|
|
1.148 |
|
|
|
908 |
|
Others |
|
|
14,50 |
% |
|
|
1.760 |
|
|
|
(748 |
) |
|
|
1.012 |
|
|
|
703 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
23.909 |
|
|
|
(9.080 |
) |
|
|
14.829 |
|
|
|
10.284 |
|
Construction in progress |
|
|
|
|
|
|
5.932 |
|
|
|
|
|
|
|
5.932 |
|
|
|
4.962 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
|
|
|
|
|
29.841 |
|
|
|
(9.080 |
) |
|
|
20.761 |
|
|
|
15.246 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(*) Calculated as a function of the volume of ore extracted in relation to the proven and
probable reserves |
ON 03/31/06
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shareholders |
|
Common Shares |
|
% |
|
Preferred Shares |
|
% |
|
Total |
|
% |
Majority Shareholder |
|
|
392,147,133 |
|
|
|
52.29 |
% |
|
|
|
|
|
|
|
|
|
|
392,147,133 |
|
|
|
31.89 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Executives |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Executive Board |
|
|
1,362 |
|
|
|
0.00 |
% |
|
|
7,833 |
|
|
|
0.00 |
% |
|
|
9,195 |
|
|
|
0.00 |
% |
Directors |
|
|
40,099 |
|
|
|
0.01 |
% |
|
|
245,754 |
|
|
|
0.05 |
% |
|
|
285,853 |
|
|
|
0.02 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal Council |
|
|
1,800 |
|
|
|
|
|
|
|
7,600 |
|
|
|
0.00 |
% |
|
|
9,400 |
|
|
|
0.00 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Treasury |
|
|
14,145,510 |
|
|
|
1.89 |
% |
|
|
11,458 |
|
|
|
0.00 |
% |
|
|
14,157,313 |
|
|
|
1.15 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Others |
|
|
343,613,525 |
|
|
|
45.82 |
% |
|
|
479,606,455 |
|
|
|
99.94 |
% |
|
|
759,116,696 |
|
|
|
66.94 |
% |
TOTAL |
|
|
749,949,429 |
|
|
|
100.00 |
% |
|
|
479,879,100 |
|
|
|
100.00 |
% |
|
|
1,165,677,168 |
|
|
|
100.00 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares Outstanding |
|
|
343,656,786 |
|
|
|
45.82 |
% |
|
|
479,867,642 |
|
|
|
99.99 |
% |
|
|
759,372,722 |
|
|
|
66,96 |
% |
ON 03/31/05
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shareholders |
|
Common Shares |
|
% |
|
Preferred Shares |
|
% |
|
Total |
|
% |
Majority Shareholder |
|
|
392,147,133 |
|
|
|
52.29 |
% |
|
|
|
|
|
|
|
|
|
|
392,147,133 |
|
|
|
31.89 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Executives |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Executive Board |
|
|
1,063 |
|
|
|
0.00 |
% |
|
|
4,524 |
|
|
|
0.00 |
% |
|
|
5,587 |
|
|
|
0.00 |
% |
Directors |
|
|
28,899 |
|
|
|
0.01 |
% |
|
|
42,600 |
|
|
|
0.01 |
% |
|
|
71,499 |
|
|
|
0.01 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal Council |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Treasury |
|
|
14,145,510 |
|
|
|
1.89 |
% |
|
|
11,815 |
|
|
|
0.00 |
% |
|
|
14,157,325 |
|
|
|
1.15 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Others |
|
|
343,626,824 |
|
|
|
45.82 |
% |
|
|
415,668,800 |
|
|
|
99.99 |
% |
|
|
759,295,624 |
|
|
|
61.74 |
% |
TOTAL |
|
|
749,949,429 |
|
|
|
100.00 |
% |
|
|
415,727,739 |
|
|
|
100.00 |
% |
|
|
1,165,677,168 |
|
|
|
94,78 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares Outstanding |
|
|
343,656,786 |
|
|
|
45.82 |
% |
|
|
415,715,924 |
|
|
|
99.99 |
% |
|
|
759,371,976 |
|
|
|
65,14 |
% |
Page: 57
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
14.05 EXPANSION, MODERNIZATION AND DIVERSIFICATION PROJECTS
Companhia Vale do Rio Doce CVRD announces that its Board of Directors has approved a capex budget
of US$ 4.626 billion for 2006, the highest annual capex figure in its history.
In line with its strategic plan, which places priority upon organic growth as the driver for
shareholder value creation, in 2006 CVRD begins the development of new projects which in coming
years will expand its production capacity in iron ore, pellets, bauxite, alumina, copper and
nickel. Also, as well as projects already in progress, there will be significant expenditure on
logistics and energy infrastructure to support the mining activities.
CVRDs world-class assets, characterized by the long life of its reserves and low cost of
exploration and operation, the significant synergies with the efficient logistics infrastructure,
and continuing strong growth in global demand, lead to expected returns higher than the Companys
cost of capital, providing incentives for acceleration of project investments. These projects,
scheduled for start-up over the period 2006-2009, will add new and considerable sources of growth
in cash flow and value for shareholders.
The amount to be invested for organic growth is US$ 3.558 billion, 77% of the total 2006 capex.
This is made up of US$ 3.067 billion in investment in greenfield projects and expansion of capacity
in existing assets (brownfield projects); and US$ 491 million in research and development (R&D),
basically directed to discovering new mineral reserves and making development possible in deposits
already identified. The remaining US$ 1.068 billion will be allocated to capital expenditure to
maintain existing operations.
Capital expenditure in the ferrous minerals business will total US$ 2.118 billion, 46% of the
total. Investment in the aluminum business is planned to be 17% of the total; logistics services
will also receive 17% of the total; and the non-ferrous minerals, 9%.
In 2005 CVRDs total capital expenditure was US$ 4.161 billion, of which US$ 2.604 billion was in
organic growth US$ 2.314 billion in projects and US$ 290 million in R&D; while US$ 757 million
was invested in maintaining existing business, and US$ 800 million in acquisitions. The total
capital expenditure in 2005, excluding spending on acquisitions, was thus US$ 3.361 billion, very
close to the amount announced in January 2005, of US$ 3.332 billion.
In December 2005 CVRD concluded the acquisition of 99.2% of the capital of Canico Resources Corp.,
a Canadian junior mining company which was the owner of the Onça Puma nickel project in the state
of Pará, Brazil, close to the mineral province of Carajás. Development of this project, together
with the Vermelho nickel project, will bring CVRD into the nickel business as an important global
producer.
The capex for 2006 is 37.6%, or US$ 1.265 billion, more than the actual capital expenditure
realized in 2005, with the exclusion of the Canico acquisition. Components in this increase can be
stated as follows: (a) investments in new projects (Carajás 100Mtpa, Itabiritos, Tubarão VIII,
Vermelho, 118, Paragominas II, Alunorte 6&7, Albras), and increase of disbursement in some projects
currently under development; (b) an increase of US$ 311 million in stay-in-business capex, due to
increased expenditure on construction of dams for environmental protection (US$ 66 million),
increase in the productivity of the pelletizing plants (US$ 35 million) and in rails and sleepers
for the railroads; (c) increase of US$ 201 million on R&D expenditures relatively to 2005; (d) an
increase of 15%, on average, in the costs of equipment and engineering services, directly resulting
from the long cycle in metals and mining and the increase in investments in the mining industry
worldwide.
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FEDERAL PUBLIC SERVICE
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ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
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14.05 EXPANSION, MODERNIZATION AND DIVERSIFICATION PROJECTS
CVRDs capital expenditure over the last five years has totaled US$ 10.5 billion, and the annual
average in real terms is higher, by far, than at any other time in the Companys history.
Simultaneously, CVRD distributed US$ 4.4 billion in dividends to its shareholders, while preserving
a solid financial position, recognized by its obtaining investment grade rating from three rating
agencies (Standard & Poors, Moodys and Dominion Bond Rating Services) and by the effective
reduction in spreads on its debt when compared with the yields offered by US Treasury securities.
In this period several projects were concluded. Highlights among them include the new Fábrica Nova
and Capão Xavier iron ore mines, the Sossego copper mine, the pelletizing plant at São Luis,
expansions of iron ore production capacity at Carajás to 70 million tons per year, the
Taquari-Vassouras potash mine, the Trombetas bauxite mine, the Alunorte alumina refinery, the
conversion of the Mo I Rana alloys plant, construction of four hydroelectric power plants Funil,
Porto Estrela, Candonga and Aimorés and Pier III of the Ponta de Madeira Maritime terminal.
Investments in logistics significantly increased the haulage capacity of our three railroads
Carajás, Ferrovia Centro-Atlântica FCA and Vitória a Minas. There were also increases in the
Southern System iron ore production capacity as well as in manganese, ferro-alloys and primary
aluminum, derived from execution of brownfield projects.
The estimated average return on capital invested, of 32% over the period 2001-2005, is a good
indicator of the quality of execution of these projects, and the rigorous discipline observed by
the Company in the allocation of its shareholders capital.
Creation of new platforms of value creation
Ferrous minerals: expansion of capacity in iron ore and pellets
The total budget for capital investment in projects related to iron ore is US$ 1.475 billion, which
represents 48% of CVRDs total planned capex on projects. Of this, US$ 769 million is allocated to
iron ore projects per se, and US$ 374 million to projects in pellets. The Companys projects with
the highest planned capital expenditure this year are Itabiritos (US$ 338 million), Carajás (US$
330 million) and Brucutu (US$ 310 million).
Four iron ore mining projects are being put in place in CVRDs Southern System: Brucutu, Itabira,
Fazendão and Fábrica. In the Northern System, the iron ore projects are those to increase the
production capacity of Carajás to 100 million tons per year: two projects respectively named
Carajás 85 Mtpa and Carajás 100 Mtpa. These projects will increase production from 233.8 million
tons per year in 2005 to approximately 300 million tons per year in 2007.
In response to the strong expansion in global demand for pellets led by the construction of new
DRI plants in the Middle East and Southeast Asia, and the quest for better standards of
productivity and environmental protection in the steel industry, and in the context of the growing
scarcity of lump ore, the main competitor of pellets CVRD is investing in two new palletizing
plants.
Itabiritos, in Minas Gerais state, Brazil, is a project that includes the construction of a
palletizing plant with annual capacity for 7 million tons, an iron ore concentration plant, and a
short pipeline, with total cost estimated at US$ 759 million.
Tubarão VIII will be the eighth pelletizing plant in the Tubarão complex, in Espírito Santo state,
Brazil, with nominal capacity of 7 million tons per year. The investment for this project is US$
516 million.
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FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
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YEAR ENDED 12/31/2005
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14.05 EXPANSION, MODERNIZATION AND DIVERSIFICATION PROJECTS
Additionally, Samarco, a joint venture in which CVRD has 50% of the total capital, will invest US$
1.2 billion in a third pelletizing plant, with nominal capacity for 7.6 million tons per year. This
project also includes the construction of an iron ore beneficiation plant and an ore pipeline
linking the mine to the pelletizing facility. We highlight the fact that this investment will not
require any injection of capital from CVRD itself.
The Port of Tubarão, in Espírito Santo state, is being expanded to increase the speed of its iron
ore handling capacity, reducing costs from demurrage charges. This project, with a total cost of
US$ 65 million, will be concluded in 2006.
About 54% of the budget for the expansion of the Carajás iron ore mine, will be allocated to
increase the capacity of the Ponta da Madeira maritime terminal, in the state of Maranhão, Brazil,
including a third shiploader.
The Sepetiba maritime terminal, in Rio de Janeiro state, Brazil, will have its iron ore loading
capacity increased, from 16.5 to 21 million tons per year in 2007, for estimated investment of US$
28 million. The iron ore handling capacity of the port terminal on the Guaíba Island maritime
terminal, also in the state of Rio de Janeiro, will be expanded from 43 to 49 million tons per year
in 2008, and a second shiploader will be acquired, for capital expenditure of US$ 41 million.
Bauxite and aluminum: exploiting the competitive advantages
CVRDs strategic focus in the aluminum production chain is concentrated on growth in the capacity
for bauxite, of which it has considerable reserves of high quality, and on alumina, due to the
efficiency and low operational and logistics costs, which provide important competitive advantages
in the global scenario.
The start-up of stages 4 and 5 of Alunorte, in the state of Pará, which will increase the capacity
of the refinery by 1.9 million tons of alumina per year, is programmed for the first quarter of
2006. Start-up of production of the phase one of the Paragominas bauxite mine, also in the state of
Pará, with 5.4 million tons per year, is scheduled for 2007. The bauxite from Paragominas will be
transported to the Alunorte plant by the worlds first bauxite ore-carrying pipeline, with total
length of 244 kilometers, reducing the cost of transport. The capital expenditure scheduled for
both projects in 2006 is US$ 354 million.
The investment in stages 6 and 7 of the alumina refinery, which will add a further capacity 1.9
million tons per year, will be US$ 846 million, of which US$ 239 million will be spent in 2006,
with estimated completion date in 2008. The budget also includes spending of US$ 14 million at
Paragominas phase two, which will increase bauxite mines production capacity to 9.9 million tons
in 2008.
The aluminum smelter at Barcarena (Albras) will absorb capital expenditure of US$ 102 million in a
project for conversion of technology. The objective of this project is to reduce the consumption of
electricity per ton of aluminum ingots, reducing unit cost and increasing output without the need
for investments in expansion of the plants capacity. Capital expenditure in 2006 will be US$ 15
million.
Coal: CVRD enters the coal industry with production in China
In 2005 CVRD acquired a 25% holding in the Henan Longyu Energy Resources (Henan) anthracite
production project, in association with Baosteel and Yongcheng, for investment of US$ 86 million.
Henan recently shipped its first cargo of 40,000 tons, from the port of Lianyungang to Brazil. This
year CVRD will spend US$ 9 million to conclude its investment totaling US$ 26 million in the
acquisition of a 25% stake in Shandong Yankuang Coking, which will begin production of
metallurgical coke in the next few months.
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FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
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14.05 EXPANSION, MODERNIZATION AND DIVERSIFICATION PROJECTS
Non-ferrous minerals: debut in the nickel industry
In July 2005 CVRD approved the development of the Vermelho nickel project, in the Carajás mineral
province, in the state of Pará, with an estimated annual production capacity of 46,000 tons of
nickel and 2,800 tons of cobalt. The estimated investment is US$ 1.2 billion, of which US$ 97
million is planned for 2006. Vermelho is timetabled to start operating in the last quarter of 2008.
This year development will begin on the Companys second copper mine, the name of which is 118. Its
estimated annual average production capacity is 36,000 tons of copper cathode, to start-up in the
first half of 2008. Estimated total capital expenditure on the project is US$ 232 million, of which
US$ 21 million is allocated in 2006.
Logistics: focus on winning productivity gains
CVRDs investments in logistics infrastructure and services in 2006 are budgeted at US$ 482
million, and consist primarily of purchase of locomotives and wagons for carrying iron ore and
general cargo.
The budget includes the acquisition of 1,426 wagons, made up of 1,276 wagons for haulage of iron
ore, and 150 wagons for third parties general cargo, and 22 locomotives exclusively to haul iron
ore for total planned investment of US$ 379 million. In 2005, the Company allocated US$465
million to acquisition of rolling stock 5,414 wagons and 125 locomotives and now expects
gradually diminishing the total amount invested on rolling stock over the coming years.
CVRD will invest US$ 20 million in the engineering project of Variante Litorânea Sul from FCA
railroad, which will have 165 kilometers of length, linking Flexal to Cachoeiro do Itapemirim, in
the state of Espírito Santo. Construction will begin after the obtention of the environmental
license and approval by the Brazilian regulatory agency ANTT. The main cargoes to be transported
are limestone, granite, wood and cement.
Generation of electric power: reducing risks
CVRD continues to invest in power plants Capim Branco I, Capim Branco II and Estreito to supply
the consumption needs of its operational units. Capim Branco I is scheduled to start operating this
year. It will be the Companys sixth hydroelectric power plant. The others are: Igarapava, Funil,
Porto Estrela, Candonga and Aimorés. Construction is timetabled to start on the Estreito
hydroelectric power plant, to serve the Companys electricity consumption needs in the Carajás
region.
The steel joint ventures: stimulating demand for iron ore
CVRD will participate in the Ceará Steel project, in association with Dongkuk Steel and Danieli.
The project, in the state of Ceará, will produce 1.5 million tons per year of steel slabs. CVRDs
investment will be US$ 25 million, and the project is scheduled to start operating in 2009. CVRD
will supply 2.5 million tons of direct reduction pellets annually.
Another project in which CVRD is participating is CSA, a joint venture with ThyssenKrupp, currently
at approval phase. CVRD will invest US$ 200 million of which US$ 72 million is allocated in 2006
capex. CSA, in the state of Rio de Janeiro, will produce 4.1 million tons of steel slabs per year,
demanding a supply of iron ore and pellets from CVRD of 7.1 million tons per year. Estimated
start-up in 2008.
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FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
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Research and development: the bases for future growth
R&D capex for 2006 is US$ 491 million, 69.3% higher than the US$ 290 million spent in 2005.
Of the US$ 491 million budgeted for 2006, US$ 150 million will be allocated to mineral research,
and US$ 341 million to technology and conceptual, pre-feasibility and feasibility studies on
development of deposits.
The initial expenditures with basic engeneering development of the recent acquired Onça Puma nickel
project are included in the R&D budget. This nickel project will be submitted to the Board of
Directors approval in 2006 in order to start its effective development.
The Company has been increasing its R&D spending since 2003, reflecting the strategic guideline
that chooses organic growth as the main lever of shareholder value creation A natural result of the
commitment to profitable growth is diversification, both geographically and in the portfolio of
assets. In the first years of this decade, CVRDs total capital expenditure on R&D at levels much
lower than the present levels was spent in Brazil. This year, 43% of the planned capex on R&D is
allocated to be spent in other countries: in South America, Africa, Asia and Australasia.
Here we see the widening of CVRDs scope in prospecting for mineral resources, which was previously
concentrated on the search for deposits of copper, gold and manganese. With increasing
diversification in recent years, the program has expanded to include other mineral materials such
as coal, nickel, bauxite, potash, phosphate and metals of the platinum group.
As well as being directed to geological exploration, investments are now being channeled into
development and improvement of processing routes, and engineering studies on new deposits.
As a result of the change in strategic guidelines, CVRD already has a global portfolio of projects
involving studies for the development of potash, phosphates, nickel, manganese and coal.
Of the projects under study, the one at the most advanced phase is the coal project at Moatize, in
Mozambique. Conclusion of its feasibility study is planned for June of this year.
Expenditure of the order of US$ 49 million will be allocated in 2006 to development of the semi
industrial- scale copper processing plant, to produce 10,000 tons of cathode per year, planned for
start-up in the second half of 2007. The purpose of this project is to test the
hydrometallurgical technology route, and if its efficiency is proven, this method will not only be
able to be used to process the ore to be produced by the Salobo and Alemão mines at very
competitive costs, but will also constitute a major technological step forward in the copper
industry as a whole.
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FEDERAL PUBLIC SERVICE
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15.01 ENVIRONMENTAL PROBLEMS
Social and environmental responsibility
Social, and environmental, responsibility are part of CVRDs business strategy. Thus it is that
social and environmental responsibility, today, permeate CVRDs entire operation and the whole of
its relationship with society. In 2005 the employees became more profoundly involved with this
process, with the custom of voluntary work becoming ever more widely established as a natural part
of our day-to-day life, and increasing involvement by management.
The results of this engagement are evident in the Companys day-to-day operations, in the
management of social and environmental impacts, in the permanent dialogue with the various publics
and segments of society with which the Company interacts, and in the Companys investment in social
projects and activities.
Commitment to PEOPLE has been a part of CVRDs life since its origins; it is present in the
Companys process of internationalization; and it has helped and continues to help to change social
realities in the regions where we work, fostering always the creation of conditions for sustainable
development. As in any relationship, the commitment of the PEOPLE of CVRD to PEOPLE in the various
communities presupposes a constant process of mutual learning. CVRD respects the values of the
locations where it works, in Brazil and in the rest of the world, and makes specific efforts for
the path of growth to promote economic and social development, generating employment, income and
improvement of the quality of life for the population as a whole.
Through the Vale do Rio Doce Foundation, CVRD operates social programs that meet the demands of the
community in a form that affords them participation and creates new structure. These actions
support local development, in partnership with the public authorities and local organizations. We
determinedly obey the highest standards of respect for the environment. Our environmental quality
management is systematized and continuously polished and improved, in all the Companys units.
The strong involvement with communities, the promotion of a healthy work atmosphere that is
inspiring and governed by ethics in personal working relationships, the constant concern with the
environment, and production oriented at all times by the greater cause of development, and in
particular sustainable development, center all of CVRDs actions on one key agent: PEOPLE.
CVRD and the Community
Committed as it is to the development of Brazil, CVRD contributes to improvement of the quality of
life of the populations surrounding the places where it operates. Involvement in the community
presupposes the understanding that the Company is part of this community.
Throughout all its operations CVRD is continually assessing and managing the impact of its
activities, to minimize negative effects and boost and stimulate positive effects.
The Company applies the concept of the Social License analogous to the procedure that takes
place in Brazil for obtaining Environmental Licenses, in which the risks and impacts associated
with the business are identified and presented to the community, for the community to
understand, consider their effects, and state their reactions. Management of impacts, carried out
by the various business areas, with the support of the Vale do Rio Doce Foundation, is one of the
pillars of CVRDs sustainability model, which is also based centrally on social investment, and
social dialogue.
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CVRD holds this dialogue with the various segments of society in relation to the issues that affect
society as a whole, and on the micro scale seeks to resolve any conflicts between parties jointly,
co-operatively and through negotiation.
For the function of communication, the Foundation operates several projects under the Vale
Comunidade program, that provide open and continuous channels of relationship with the local
population. One of the most straightforward is the Visitas Comunidade (Community Visits) program,
which seeks increasingly to integrate the Company and the communities where it works, through
visits to our operational units. These enable visitors to get to know the Company, its production
processes, its social actions and the care it takes with the environment, and to have questions
answered by staff. These visits provide benefits for the community at the same time as being
positive for the Companys internal environment.
In the Brazilian State of Espírito Santo the Community Visits program takes place through a
partnership with a local radio station, Rádio Gazeta. The structure of the visit shows visitors
details of the main activities at the Tubarão industrial complex: the pelletization units, the
wagon tipper, the ports, the storage patios and the Botanical Garden. During the visit, radio
commentators transmit flash reports live to the radio station and its listeners, putting
visitors reactions on the air along with information about the Company. In 2005 the Company had a
total of 880 visitors from the metropolitan area of Vitória, capital of Espírito Santo state. One
new feature this year was online internet contact with visitors to the radio stations site, Gazeta
OnLine, a public that is differentiated by its critical positioning and desire for participation.
Establishing open, continuous and transparent dialogue with the community, the Leadership Meetings
program, under the Vale Comunidade umbrella, holds periodic meetings between representatives of
CVRD and leaders of the local community. Themes of interest to both sides are presented, and a
forum provided for open debate and discussion. This creates an important phenomenon: both sides
become involved as partners in decisions on the Companys business strategies, and this generates a
joint commitment to the targets established. The more channels of communication that are
established, with the quality to make this type of dialogue possible, the better the mechanism
works.
Another activity within the Vale Comunidade program is the Culture and Citizenship Network (Rede
Cultura e Cidadania), which has been creating work and income opportunities in the Brazilian state
of Minas Gerais, based on local art and culture, in handcrafts, music and theatre workshops.
Success enabled the project to expand in 2005 from seven to ten municipalities and from three to
four regions of the state. More than 1,000 people have taken part in the 32 workshops held in the
programs two years of existence, and another 1,100 people have taken part in the events that are
open to the public.
Vale Comunidade also seeks to bring CVRD closer to the populations that live close to its
railroads: these are the Carajás Railroad (Estrada de Ferro Carajás or EFC), the Vitória-Minas
Railroad (Estrada de Ferro Vitória-Minas EFVM) and the Centro-Atlântica Railroad (Ferrovia
Centro-Atlântica, or FCA). The main objective is to raise awareness of and sensitivity to the issue
of safety in relation to the railroads. Names of the projects, including Olha o Trem (on the EFC),
Cidadania nos Trilhos (on the FCA), Estação da Cidadania (on the EFVM) and o Trem da Cidadania (on
the EFC), reflect the purpose. These names mean: Look out for the Train!, Citizenship on the
Rails, Citizenship Station, and The Citizenship Train.
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In 2005, the year of the EFVMs Centenary, CVRD put in place the Cultura nos Trilhos (Culture on
the Rails) program, which promoted the artistic and cultural production of the areas where the
railroad passes, with theatre, dance, music and circus performances. In parallel, this project is
stimulating the formation and organization of cultural entrepreneurs in the towns involved. Ten
municipalities (in Brazil, a municipality can be a very large rural area similar to or much
larger than a County in the United States) are part of the project: Vitória, Colatina, Fundão and
Baixo Guandu, in the state of Espírito Santo; and Aimorés, Resplendor, Conselheiro Pena, Governador
Valadares, Nova Era and Itabira, in the state of Minas Gerais.
The social investment that CVRD makes directly in areas more closely related to its products and
business processes, however, goes a lot further than mere communication. Through the Vale do Rio
Doce Foundation the Company invests in programs that build future social structure, focused on the
areas of education, culture and local economies, because it believes that these are the three basic
components of local sustainable development. The programs are carried out in partnership with NGOs,
local organizations and public authorities, and provide long-term benefits for the communities
involved.
Education
Quality of education increases a populations income through increased productivity,
employability, and, importantly, entrepreneurship and also improves quality of life, as families
apply their resources better, reducing the degree of future poverty. Also, education prepares the
individual to create more value with his work, and for full and proper exercise of citizenship.
These are the Foundations objectives in investing in this area.
The Escola que Vale program, which operates in partnership with the Community Action Education and
Documentation Center (CEDAC), improves the abilities and resources of municipal school networks
by implementing a process of continuous further education of teachers, school managers, supervisors
and Education Department staff all aiming for improved teaching. It offers workshops in art,
reading and writing; courses on the internet as a training medium; a monitoring and assessment
system; methodology for participative teaching planning; and the Casa do Professor, a space
available for updating and improvement for teachers.
This program began in 1999 and has provided benefits to 74,000 teaching staff and students. The
Community Action Educational and Cultural Development Institute (Ideca) has attested to its
efficacy. Pupils of teachers who are in the second phase of the Escola que Vale program achieve
better results than those of teachers inscribed in the initial phase. In 2005 the program was put
in place in two more municipalities Belo Vale, and Congonhas, both in the state of Minas Gerais
bringing the total number of cities using the program to 18.
In practice, Escola que Vale goes beyond training it motivates teachers in the task of
transforming current social reality through education, seeking creative solutions in daily
practice. An example: a teacher in the village of Alto Alegre do Pindaré, in the Northern state of
Maranhão, instituted the Book-donkey to carry the publications made available by the Casa do
Professor to the pupils in the schools in the countryside. This low-cost, high-impact initiative
inspired the local prefecture to provide five donkeys, and a thousand books, for the project.
Along similar lines, the Sexual and Emotional Education Program, put in place jointly with Martins
Pereira Consultoria Educacional, aims to qualify staff in the public education, health, social
action and judiciary services to work with adolescents, using participative methods to deal with
themes related to health, affection and sexuality for young people. The approach adopted is to
encourage young people to participate and take protagonist roles. Since 2001, 1,433 professional
staff have received this orientation in 117 schools, which means that the program has reached out
to the lives of 38,000 young people and adolescents.
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But the power of education is not limited to the young. The Vale Alfabetizar (CVRD Literacy)
program, run in partnership with the NGO Alfasol, helps to minimize illiteracy in Brazil. This
program began in 2004 and currently has 34,296 pupils and teachers participating, nationwide,
adopting the methodology of the well-known educator Paulo Freire, who gives value to cultural
identity and promotes the exercise of citizenship. In 2005 it incorporated two other activities:
the VER (To See) Program, which provides eyewear for those in need, reducing one of the main
reasons for people not attending the program; and the EJA project, to provide education for young
people and adults in the municipality where the Vale Alfabetizar program is implemented.
The Educação nos Trilhos program, since 2000, has been working in alliance with the TV channel
Futura to take education, knowledge and citizenship to the various communities located along with
the Carajás (EFC) Railroad, and the VitóriaMinas Railroad (EFVM). The stations along the railroad
are transformed into Knowledge Stations, with educational and mobilization activities, debates
and theme workshops. Passenger rail wagons are converted into Tele-trains, broadcasting
educational programs during the trip.
The electronic media have a fundamental role in the educational process, and for this reason the
Vale do Rio Doce Foundation has, since 2001, been investing in Vale Informática (CVRD I.T.). This
program is carried out jointly with the IT Democratization Committee (CDI) and provides IT teaching
and training to people in the lowest income groups, giving them access to better work
qualifications, entrepreneurship, access to information, participation in networks, and the
exercise of citizenship. Approximately 12,000 pupils were benefited by this program in 2005. The
total number of people served by the program so far is 50,100.
Culture
Investment in culture as a means of social empowerment, and strengthening of the identity of
communities, is also part of the activities of the Vale do Rio Doce Foundation. The Foundation
supports artistic works that increase the potential of local development, with emphasis on exchange
between different languages, and redemption and preservation of traditions.
The Vale Música program takes different shapes in the different regions where CVRD works, since it
is conceived on the basis of the desire of each individual community, and the awareness of the
social agents. The partners in this initiative are the Caieiras Cultural Center (Espírito Santo
state), Friends of the Espírito Santo Philharmonic Orchestra (AAOFES), the Man of the Pantanal
Institute (state of Mato Grosso do Sul) and the Amazônica Music Foundation (Fundação Amazônica de
Música) in the state of Pará.
The program entitled Vale Música Teaching Concerts (Vale Música Concertos Didáticos) was born
in Espírito Santo state from the presentations of the states Philharmonic Orchestra. In 2005, 30
concerts were held and more than 7,000 pupils from the public school network learnt to recognize
harmonies, the instruments, the musical language, and the function of each player and the
conductor.
In another program Vale Música Teaching Academy (Vale Música Academia de Ensino), children
and young people not only learn to hear, but also to play instruments and to sing in choirs and
musical groups. In the metropolitan region of Vitória, the capital city of Espírito Santo state,
the project is the result of a partnership between the Espírito Santo Philharmonic Orchestra and
the Amazônica Music Foundation, from the northern state of Pará. Another program, Vale Música
Regional Culture (Vale Música Cultura Regional) serves the desire of the community of Greater
Vitória to preserve one of the regions traditional forms of music, the congo, a mixture of music
and dance, which was born, according to legend, when a slave ship was shipwrecked at nearby Vila de
Nova Almeida. These two projects have so far enriched the lives of 820 children and young people.
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Also in Espírito Santo, the CVRD Museum, which had its seventh anniversary in 2005, has a
collection of historic railway equipment, and also promotes revitalization of the regions culture
with exhibitions of contemporary art, university student workshops and art workshops with children
and adolescents. These facilities received 62,900 visitors in 2005 alone, of whom 22,384 were
students.
CVRD is active in support for cinema. The Cinema nos Trilhos (Cinema on the Rails) project,
operated in partnership with Muito Mais Promoções, began in 2005, showing 35 millimeter films,
supported by editing and exhibition of a video of the reactions and stories of people living in the
communities close to the Carajás (EFC) Railroad, in the northern states of Maranhão and Pará,
recorded before and after the sessions. The project reached 16,000 people in 2005.
Local Economies
The Vale do Rio Doce Foundation believes it is vital to adopt sustainable development strategies
that will leverage its investments over time, ensuring that they benefit populations over the
medium and long term. The Cidade Vale Mais project has been operating since 2002. Its mission is to
give regions and municipalities where the Company operates appropriate instruments for shared
planning and management, able to converge the interests of society, giving real continuity to both
public and private actions of transformation.
The program is conducted by the Agência 21 organization, and is based on mobilization of local
leaders representatives of companies, public authorities, non-profit organizations and other
civil organizations. As an example, residents of the town of Cariacica in Espírito Santo were
stimulated to debate development strategies for the community, and the fashion industry jointly
created an apparel production center, which generated employment and income.
With the opportunity identified, the Vale Mais chapter of Cariacica offered technical, logistical
and legal support to the local entrepreneurs, who eventually organized themselves into the
Cariacica Moda Association. Today the town is host to some 150 entrepreneurs of the sector,
responsible for 800 formal jobs, and possibly the informal employment of about two thousand other
people.
In the mountain (Serrana) region of Espírito Santo, local organizations, the public sector and the
private sector of ten municipalities were jointly organized, leading to establishment of a
Sustainable Development Plan, now in place, in the towns involved. The Plan provides a blueprint
for the strengthening of the region over the next 20 years, with the final target of transforming
it into a quality of life center, with economic and social development through coordinated
development of the regions two main vocations agribusiness, and eco-tourism.
Another program to strengthen local economies is the Rede que Vale, which invests in the formation
of a network of social responsibility projects based on corporate voluntary work to create
sustainable development. An ally in this initiative is the NGO Rede Cidadã (Network, Citizen),
which has helped 5,511 young people in five municipalities of Minas Gerais Brumadinho, Betim,
Congonhas, Contagem and Governador Valadares with actions based on career training and hiring by
the labor market. Rede que Vale also promotes the development of small and micro-size companies and
business associations, strengthening the culture of entrepreneurship that is in fact strong in
Brazilian society.
Through these programs, the Vale do Rio Doce Foundation transforms its mission into a reality:
contributing to integrated, economic, environmental and social development of the geographical
areas that it is associated with, strengthening the social capital of the communities, and
respecting and reinforcing the local cultural identity.
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CVRD and Environment
In its operations, CVRD adopts the highest standards of environmental control. But the CVRD
Environmental Policy goes further: in it, the environment is considered to be a strategic component
of business management, and its protection is part of the Companys business culture.
Employees and managers are engaged in the continuous improvement of the environmental quality of
the Companys activities. In 2005, R$ 108 million was invested in projects within CVRDs
operational areas, and R$ 39 million in external programs and projects.
One of the principal tools for implementation of the corporate environmental policy is CVRDs
Environmental Quality Management System. This undergoes continual improvement in the process of
disciplining and standardizing compliance with operational procedures and legislation. It is the
overall instrument that CVRD uses to align operations with its environmental responsibility
guidelines.
The environmental performance of every one of CVRDs operational units is periodically monitored
and checked using standard environmental audit procedures. For example, 100% of CVRDs exports of
iron ore and pellets originate from mines and processing plants whose Environmental Management
Systems are certified under ISO 14001, and are submitted to checking by independent accredited
international agencies.
CVRDs various operational units access a rich diversity of information from programs and systems
to rationalize use of natural resources, reduce waste, and provide information for environmental
management.
The Environmental Information System is the management tool used for the processes of licensing and
routine checking of the levels of conformity of all the operational activities. In 2005 CVRD
developed the Wastes, Water Resources, and Air Quality modules, widening the scope of the system
which is now available for access in all the operational units.
Management of environmental risks is guaranteed by the continuous process of identification of
dangers and assessment of risks associated with the Companys activities, products and services.
CVRD believes this management is one of the bases for safeguarding its present and future value. In
2005 the Company began a process of review and updating of the Risks Management Program of the
Centro-Atlântica Railroad (FCA), over the whole of its length of more than 8,000 kilometers,
including all the fixed installations. This is one of the largest and most detailed programs of
this type ever put in place in Brazil, and makes intense use of the most up-to-date satellite
imaging, aircraft and geo-processing technology.
All the seaports operated by CVRD the port and industry complex at Tubarão; the Vila Velha Port
Terminal in Vitória, in the state of Espírito Santo; the Ponta da Madeira Port in São Luís,
Maranhão; the Inácio Barbosa Seaport Terminal in Aracaju, in the state of Sergipe; and the Sepetiba
Bay Port Company in the state of Rio de Janeiro have updated their respective Emergency Plans to
ensure an appropriate response capability.
Another development was the launch of our Dangerous Products Management regulations, for use
internally in the Company, setting criteria and guidelines for eliminating or minimizing risks of
accidents arising from use of specific products, as well as defining attributions and
responsibilities for their management. All communities are directly informed of all the
environmental actions and any other public strategies.
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The Companys new projects undergo not only technical and economic feasibility studies, but also
highly detailed environmental and social feasibility studies, as an important part of our strategic
commitment to sustainable development. Application of the Front-End Loading (FEL) methodology to
approval and development of large-capital projects is obligatory, and from the beginning of each
project integrated assessments are made covering the technical, economic, social and environmental
aspects, providing continuous decision-making on whether the investment should proceed.
Protection and Research
In 2005 the CVRD Environmental Institute (IAVRD), responsible for managing and operating the
interfaces between CVRDs operational activities and the ecosystems that host them, continued with
its scientific research and the development of new environmental protection and recovery
technologies.
The IAVRD has one of the vastest collections of knowledge on the ecosystems and species of Amazônia
and the Atlantic Forest, including detailed information on the reproduction of approximately one
thousand native botanical species. Its Centers in Minas Gerais, Espírito Santo, Maranhão and Pará
serve the Companys various operational units, and also research requests from public bodies and
private-sector companies which sign operational agreements with CVRD.
CVRD also creates inventories of fauna and flora in the various ecosystems in which it operates,
making it possible to create a complete assessment of every region investigated, increasing
knowledge about existing species. New species and new endemic species are identified, threats of
extinction assessed, and the impact of alteration of the environment on fauna and flora evaluated.
In the region of Carajás (Pará state, Brazil) ten inventories, with their respective monitoring and
assessments, were made in 2005, evaluating 441 species of birds, 102 species of amphibians and
reptiles, and 145 mammals. The forest studies also catalogue new knowledge about the environmental
conditions of the region in detail: in 2005 IAVRD produced a detailed inventory of 1,409 hectares
of vegetation at Carajás.
The forest river-bank rehabilitation program put in place on 180 hectares in the north of Espírito
Santo was responsible for planting of 200,000 saplings of varied Atlantic Forest species,
cultivated in the CVRD Nature Reserve, at Linhares, in a program implemented in partnership with 56
local farmers, providing a demonstration of the importance of establishment of permanent
preservation areas, and involvement of the community in their protection. Since 1999 CVRD has had
an operational accord with the Brazilian environmental authority, Ibama (Brazilian Environment and
Renewable Natural Resources Institute), for the production and maintenance of the Sooretama
Biological Reserve together this reserve and the Linhares Reserve include approximately 70% of
the Atlantic Forest in the state of Espírito Santo.
Through the Institute, CVRD also carries out research and develops technology for the
rehabilitation of areas affected by mining, in accordance with the guidelines set out in the CVRD
Manual for Mining Closure, which is also used in the process of provisioning of financial resources
to meet future demands. These studies, which aim to achieve an increasingly efficacious system of
rehabilitation, have the support of several research entities, such as Embrapa (the Brazilian
Farming Research Company), the Federal University of Pará (UFPA), the Emílio Goeldi Museum of
Paraná (MPEG) and the Rio de Janeiro Federal University (UFRRJ). In 2005 approximately 1,850
hectares of areas affected by mines, railroads and ports, and other regions, were rehabilitated
with native species from the ecosystems of the Atlantic Forest, the Cerrado, and the Amazon Region.
This work directly creates employment for 300 people.
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CVRDs environmental education projects are consolidated in its Environmental Attitude Program,
which is based on the guidelines agreed between the operational units and the corporate center in
2004. In the town of Canaã dos Carajás, in the Brazilian state of Pará, this program was fully
incorporated by 13 schools which already took part in the Escola que Vale Program of the Vale do
Rio Doce Foundation, covering more than 3,200 employees and 100 teachers of the municipal primary
school network. In Brazils state of Minas Gerais, the projects linked to the program created four
new environmental education centers, in the towns of Brumadinho, Itabira, Congonhas and Mariana.
These are centers of knowledge and excellence for environmental training, exchange of the
experiences of different schools, and passing on of this experience to visitors.
Eco-efficiency
The environmental management systems and practices also improve the Companys operational
efficiency. The 18 Water Resources Management Committees made an outstanding contribution in 2005
with their implementation of action plans for each operational unit, with clear rationalization
targets for use of water, based on the consolidated and detailed water use statistics for each
production process. The Effluent Treatment Systems are also the subject of attention, to ensure
that their performance is entirely compatible with the law and regulations.
CVRD complies with the Agenda 21 in relation to management of water resources. In 2002 and 2003 it
carried out a diagnosis of the water resources of all the units, including highways and port
complexes. Clear allocation of responsibilities results in appointment, in each one of the CVRD
units, of water managers, who have the support of specially organized and trained committees to
develop water use action plans based on the diagnoses of use of water resources. Currently the
Company, on average, recycles 80% of the water used in its operations.
Thanks to the specific monitoring plans, CVRD supervises the quality of surface water, drinking
water and liquid effluents, with physical, chemical and bacteriological analyses that check for
compliance with the environmental legislation ensuring that natural water resources around the
projects are protected.
Another permanent concern is air quality. In Carajás three automated monitoring substations began
operating in May 2005, giving hourly levels of inhalable dust and total dust in suspension in the
iron ore and manganese mines, and also in the town center. In the mine area, where the activities
produce dust, a remote aspersion system and six water tanker trucks are used to control the
environment as well as standard protection equipment.
In 2005 three automated internal monitoring stations were put in place at the Tubarão Industrial
and Port Complex, in Espírito Santo state, continually measuring total particles in suspension: and
the eighth station of the Greater Vitória Automatic Air Quality Monitoring Network (RAMQAr), one of
the most up-to-date in Brazil, providing real time data, was installed under the supervision of the
Espírito Santo Environmental Institute (IEMA). The partnership between CVRD and the environmental
control agency that is responsible for publishing the data to the population demonstrates the
Companys transparency in its relationship with the community and the consistency of its
environmental policy.
In 2005 each one of the Companys operational units developed its own project to minimize waste
generation, in accordance with the guidelines of the Companys Waste Management Plan. These will be
put into practice in 2006 expressing the Companys policy of continuous improvement of its
environmental performance.
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In Carajás, CVRD invests in waste treatment both in its operational areas and in the town complex.
Organic waste, collected in the towns restaurants and in the mine, for example, is taken to the
Waste Storage Center, and from there to the composting plant, where it is mixed with sawdust and
cut grass to transform it into organic fertilizer. This is used in landscaping in the town and in
the degraded areas being recovered.
Innovation
As well as using the best tools available internationally to control emissions, CVRDs
environmental actions in 2005 included a technological innovation: its pellet powder suppressor.
This is an organic compound product which reduces the emission of material in particle form by the
pelletization plants, also reducing water consumption in the iron ore heaps and improving the
process of industrial production of pallets.
The technology of the powder suppressor was developed over two years, and first used routinely in
August, 2005. It is a viscous paraffin-related substance which involves pellets in the stacking,
recovery and loading operations, and minimizes generation of waste. Its usefulness extends to the
final client, since it can also improve handling at the destination port, keeping storage
facilities and plants free of emissions.
Previously this control was carried out by applying water, but this has disadvantages: water
evaporates, interferes with the quality of the pallets and can increase humidity after loading.
CVRD invested R$ 4 million on the powder suppressing technique, in tests and installations, and
will spend R$ 10 million annually on its operation. Application of the product saves 125,000 cubic
meters of water annually, enough to supply 350 families.
CVRD also invests in bio-diesel as a clean and renewable energy source. Last year it began tests
adding
20% of bio-diesel to diesel oil in the trains operating the Vitória-Minas Railroad. These tests
exceeded the government targets the Brazilian National Bio-Fuels Production and Use Program is
targeting addition of only 2% of bio-diesel by 2008. CVRD is Brazils largest consumer of diesel
oil, and will be installing tanks in Tubarão (Espírito Santo) and Nova Era (Minas Gerais), for
storage of the oil produced by Brazils soy processors.
Awareness
CVRD believes that training and skills acquisition for its employees and sub-contractors are a
vital element in achieving continuous improvement of environmental management systems. The Surface
Water Resources Quality Management Course, held in 2005 in partnership with the Environmental Water
Technology Company (Cetesb), showed that continuous training leads to a real change in values and
attitudes. The course prepared 50 key managers and members of the Water Resources Management
Committees of all the operational units.
The procedures for reduction, handling, packaging and sale of waste products were included in the
training of all the operational areas, a total of 350 managers. The content of the three modules of
the On Track to Environmental Development (Trilhas para o Desenvolvimento Ambiental) program, in
the Waste, Water Resources and Risk areas, were prepared during 2005.
Environmental awareness is being taken not only to the employees, but also to the communities where
CVRD works.
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In Canaã dos Carajás, in Pará, Brazil, the Environmental Education Program covered approximately
3,000 teachers and pupils in the 5th to 8th classes of basic education in public schools, for
investment of R$ 436,000.
In the Brazilian state of Maranhão, in the region of Itaqui-Bacanga, the Urban Cleaning Education
Program, with a budget of R$ 2.8 million under the Cidade Vale Mais program, focuses on urban
cleaning and environmental education, helping the cause of sustainable development.
The Tubarão Botanical Park and the Carajás Zoobotanical Park are part of CVRDs strategy of raising
environmental awareness. In 2005 the Company also inaugurated the initial installations of the new
Botanical Park of São Luís, the capital city of Brazils Maranhão state, with 110 hectares, to be
open totally to the population in 2006, expecting between 100,000 and 200,000 visitors per year.
The parks at Tubarão and Carajás respectively received 96,000 and 42,000 visitors in 2005.
CVRDs total investment on the three parks, in 2005, was R$ 1.4 million.
At Tubarão 30,000 students of various age groups have been given monitored visits to the park, and
offered environmental educational activities and visits to the Tubarão Industrial and Port Complex.
There were also art and theatre workshops, lectures, shows, films and meetings with the
researchers, all on the theme of the environment a total of 458 events with 32,000 participants.
The Tubarão Botanical Park covers 33 hectares and has a space for events, four meeting rooms and a
130-seat auditorium with audiovisual projection.
The Zoobotanical Park, in 30 hectares of the Carajás National Forest, is considered to be a model
of protection of biodiversity for the Amazon Region. It hosts between 200 and 250 animal species
and offers educational programs on the environment to the community of Carajás and nearby regions.
In 2005 it began a process of restructuring which will increase its scientific and botanical
research activities.
The Rio Doce Valley Nature Reserve in Linhares, in the Brazilian state of Espírito Santo, which is
a Unesco Natural Heritage Site, is part of the series of Conservation Units of the Brazilian
Discovery Coast, and is also open to the public. In 2005 approximately 10,000 people visited the
reserve, which is also visited by a large number of researchers and scientists, attracted by one of
the most outstanding and internationally recognized centers of knowledge about the Brazilian
Atlantic Forest.
CVRD also supports and sponsors events that promote environmental consciousness-raising and debate.
As a Company interested in promoting Brazilian biodiversity, it participates in the most important
Brazilian and international organizations committed to preserving the environment and sustainable
development such as the Brazilian Business Council for Sustainable Development (CEBDS), the
International Emissions Trading Association (Ieta) and the World Business Council for Sustainable
Development (WBCSD). It is also a member of the Convention on Biological Diversity (CBD), which
establishes rules and principles for the use and protection of biological diversity in each
signatory country.
Page: 72
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
|
|
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
16.01 LAWSUITS WITH A VALUE EXCEEDING 5% OF STOCKHOLDERS EQUITY OR NET PROFIT
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3 - % OF |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
STOCKHOLDERS |
|
|
|
|
|
|
|
|
|
6 - AMOUNT (R$ |
1 - ITEM |
|
2 - DESCRIPTION |
|
EQUITY |
|
4 - % OF NET PROFIT |
|
5 - PROVISION |
|
THOUSANDS) |
|
|
|
|
|
|
|
|
|
|
|
|
YES |
|
NO |
|
|
|
|
01 |
|
Labor Suits |
|
|
2.28 |
|
|
|
5.26 |
|
|
X |
|
|
|
|
549,000 |
|
02 |
|
Tax Disputes |
|
|
8.54 |
|
|
|
19.67 |
|
|
X |
|
|
|
|
2,054,000 |
|
03 |
|
Other Suits |
|
|
2.41 |
|
|
|
5.55 |
|
|
X |
|
|
|
|
580,000 |
|
Page: 73
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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1 -
|
|
CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
|
|
|
|
|
|
|
|
|
CHAPTER I NAME, PURPOSE, HEAD OFFICE AND DURATION
Article 1 COMPANHIA VALE DO RIO DOCE, referred to in abbreviated form as CVRD, is a joint-stock
company governed by the present By-Laws and by applicable legislation.
Article 2 The purpose of the company is:
I. |
|
the exploitation of mineral deposits in Brazil and abroad by means of extraction, processing,
industrialization, transportation, shipment and commerce of mineral assets; |
|
II. |
|
the building and operation of railways and the exploitation of own or third party rail traffic; |
|
III. |
|
the building and operation of own or third party marine terminals, and the exploitation of nautical activities for the
provision of support within the harbor; |
|
IV. |
|
the provision of logistics services integrated with cargo transport, comprising generation, storage, transshipment,
distribution and delivery within the context of a multimodal transport system; |
|
V. |
|
the production, processing, transport, industrialization and commerce of all and any source
and form of energy, also involving activities of production, generation, transmission,
distribution and commerce of its products, derivatives and subproducts; |
|
VI. |
|
the carrying-on, in Brazil or abroad, of other activities that may be of direct or indirect
consequence for the achievement of its corporate purpose, including research,
industrialization, purchase and sale, importation and exportation, the exploitation,
industrialization and commerce of forest resources and the provision of services of any kind
whatsoever; |
|
VII. |
|
constituting or participating in any fashion in other companies, consortia or associations
directly or indirectly related to its business purpose. |
Article 3 The head office and legal venue of the company shall be in the city of Rio de Janeiro,
State of Rio de Janeiro, the company being empowered for the better realization of its activities
to set up branch offices, subsidiary branch offices, depots, agencies, warehouses, representative
offices or any other type of establishment in Brazil or abroad.
Article 4 The term of duration of the company shall be unlimited.
CHAPTER II CAPITAL AND SHARES
Article 5 The capital stock is in the amount of R$ 19,492,400,974.56 (nineteen billion, four
hundred and ninety-two million, four hundred thousand, nine hundred and seventy-four reais and
fifty-six cents) corresponding to 2,459,657,058 (two billion, four hundred fifty nine million, six
hundred fifty seven thousand and fifty eight) shares, being R$ 9,007,032,395.62 (nine billion,
seven million, thirty-two thousand, three hundred and ninety-five reais and sixty-two cents)
divided into 1,499,898,858 (one billion, four hundred ninety nine million, eight hundred ninety
eight thousand, eight hundred fifty eight) common shares and R$ 10,485,368,578.94 (ten billion,
four hundred and eighty-five million, three hundred and sixty-eight thousand, five hundred and
seventy-eight reais and ninety-four cents), divided into 959,758,200 (nine hundred fifty nine
million, seven hundred fifty eight thousand and two hundred) Class A preferred shares, including
six (6) Special Class shares, all without par value.
|
§ 1 - The shares are common shares and preferred shares. The preferred shares comprise class A
and special class. |
|
§ 2 - The special class preferred share shall belong exclusively to the Federal Government. In
addition to the other rights which are expressed and specifically attributed to these shares
in the current By-Laws, the special class shares shall possess the same rights as the class A
preferred shares. |
|
§ 3 - Each common, class A preferred share and special class shares shall confer the right to
one vote in decisions made at General Meetings, the provisions of § 4 following being
observed. |
|
§ 4 - The preferred class A and special shares will have the same political rights as the
common shares, with the exception of voting for the election of Board Members, excepting the
provisions set forth in §§ 2 and 3 of Article 11 following, and also the right to elect and
dismiss one member of the Fiscal Council, and its respective alternate. |
Page: 74
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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1 -
|
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CVM CODE
|
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2 -
|
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NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
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COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
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§ 5 Holders of class A preferred and special class shares shall be entitled to receive
dividends calculated as set forth in Chapter VII in accordance with the following criteria: |
a) priority in receipt of dividends specified in § 5 corresponding to: (i) a minimum of 3%
(three percent) of the stockholders equity of the share, calculated based on the financial
statements which served as reference for the payment of dividends, or (ii) 6% (six percent)
calculated on the portion of the capital formed by this class of share, whichever higher;
b) entitlement to participate in the profit distributed, on the same conditions as those for
common shares, once a dividend equal to the minimum priority established in accordance with
letter a above is ensured; and
c) entitlement to participate in any bonuses, on the same conditions as those for common
shares, the priority specified for the distribution of dividends being observed.
|
§ 6 Preferred shares shall acquire full and unrestricted voting rights should the company fail
to pay the minimum dividends to which they are entitled during 3 (three) consecutive fiscal
years, under the terms of §5 of Article 5. |
Article 6 The company is authorized to increase its share capital up to the limit of
1.800.000.000 (one billion and eight hundred million) common shares and 3.600.000.000 (three
billion and six hundred million) class A preferred shares. Within the limit authorized by the
present Article, the company shall, by means of a decision by the Board of Directors, be entitled
to increase the share capital without any alteration of the By-Laws by means of the issuance of
common shares and/or preferred shares.
|
§ 1 - The Board of Directors shall determine the conditions for issuance, including the price
and the period of time prescribed for paying up. |
|
§ 2 - At the option of the Board of Directors the preemptive right in the issuance of shares,
bonds convertible into shares and subscription bonuses, the placement of which on the market
may be by sale on the stock exchange or by public subscription as per the prescriptions set
forth in Law no. 6.404/76, may be rescinded. |
|
§ 3 - Provided that the plans approved by the General Meeting are complied with, the company
shall be entitled to delegate the option of share purchase to its administrators and
employees, with shares held in Treasury or by means of the issuance of new shares, the
shareholders preemptive right being excluded. |
Article 7 The special class share shall possess a veto right regarding of the following subjects:
I. |
|
change of name of the company; |
|
II. |
|
change of location of the head office; |
|
III. |
|
change of the corporate purpose with reference to mineral exploitation; |
|
IV. |
|
the winding-up of the company; |
|
V. |
|
the sale or cessation of the activities of any part or of the whole of the following
categories of the integrated iron ore systems of the company: (a) mineral deposits, reserves
and mines; (b) railways; (c) ports and marine terminals; |
|
VI. |
|
any alteration of the rights assigned to the types and classes of the shares issued by the
company in accordance with the prescriptions set forth in the present By-Laws; |
|
VII. |
|
any alteration of the present Article 7 or of any of the other rights assigned to the special
class share by the present By-Laws. |
CHAPTER III GENERAL MEETING
Article 8 The ordinary Shareholders General Meeting shall be held within the first four months
following the end of the fiscal year and, extraordinarily, whenever called by the Board of
Directors.
|
§ 1 - An extraordinary Shareholders General Meeting shall be competent to discuss the subjects
specified in Article 7. |
Page: 75
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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1 -
|
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CVM CODE
|
|
2 -
|
|
NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
|
|
COMPANHIA VALE DO RIO DOCE
|
|
|
|
33.592.510/0001-54 |
|
|
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§ 2 - The holder of the special class share shall be formally requested by the company to
attend for the purpose of discussing the subjects specified in Article 7 by means of personal
correspondence addressed to its legal representative, a minimum period of notice of 15
(fifteen) days being given. |
|
§ 3 - Should the holder of the special class share be absent from the General Meeting called
for this purpose or should it abstain from voting, the subjects specified in Article 7 shall
be deemed as having been approved by the holder of the said special class. |
Article 9 At an Ordinary or Extraordinary General Meeting, the chair shall be taken by the
Chairman, or in his absence by the Vice-Chairman of the Board of Directors of the company, and the
Secretary of the Board of Directors shall act as secretary, as per § 14 of Article 11.
Sole Paragraph In the case of temporary absence or impediment of the Chairman or Vice-Chairman of
the Board of Directors, the General Meeting of Shareholders shall be chaired by their respective
alternates, or in the absence or impediment of such alternates, by an Officer specially appointed
by the Chairman of the Board of Directors.
CHAPTER IV ADMINISTRATION
Article 10 The Board of Directors and the Executive Board shall be responsible for the
administration of the company.
|
§ 1- The members of the Board of Directors and the Executive Board shall take office by means of
signing the Minute Book of the Board of Directors or the Executive Board, as the case may be. |
|
§ 2- The term of office of the members of the Board of Directors and the Executive Board shall
be extended until their respective successors have taken office. |
|
§ 3- The General Meeting shall fix the overall amount for the remuneration of the
administrators, benefits of any kind and allowances being included therein, taking into
account the responsibilities of the administrators, the time devoted to the performance of
their duties, their competence and professional repute and the market value of their duties,
their competence and professional repute and the market value of their services. The Board of
Directors shall apportion the fixed remuneration among its members and the Executive Board. |
|
§ 4- The Board of Directors shall be supported by technical and consultant bodies, denominated
Committees, regulated as set forth in Section II Committees hereinafter. |
SECTION I BOARD OF DIRECTORS
Subsection I Composition
Article 11 The Board of Directors, a joint decision-making body, shall be elected by the General
Meeting and shall be formed of 11 (eleven) effective members and their respective alternates, all
being shareholders in the company, and one of whom shall be the Chairman of the Board and another
shall be the Vice-Chairman.
|
§ 1- The term of office of the members of the Board of Directors shall be 2 (two) years, their
re-election being permitted. |
|
§ 2- Under the terms of Article 141 of Law # 6,404/76, 1 (one) member and his alternate of the
Board of Directors, may be elected and removed, by means of a separate vote at the general
meeting of shareholders, excluding the controlling shareholder, by the majority of holders,
respectively, of: |
|
I common shares representing at least 15% (fifteen percent) of the total shares with
voting rights; and |
|
II preferred shares representing at least 10% (ten percent) of share capital. |
|
§ 3- Having ascertained that neither the holders of common shares or preferred shares have
respectively formed the quorum required in sections I and II of §2 above, they shall be
entitled to combine their shares to jointly elect a member and an alternate to the Board of
Directors, and in such hypothesis the quorum established in section II of §2 of this Article
shall be observed. |
Page: 76
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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1 -
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CVM CODE
|
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2 -
|
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NAME OF THE COMPANY
|
|
3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
|
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|
COMPANHIA VALE DO RIO DOCE
|
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33.592.510/0001-54 |
|
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§ 4- The entitlement set forth in §2 of this Article may only be exercised by those shareholders
who are able to prove uninterrupted ownership of the shares required therein for a period of
at least 3 (three) months, immediately prior to the general shareholders meeting which elected
the members of the Board of Directors. |
|
§ 5- From among the 11 (eleven) effective members and their respective alternates of the Board
of Directors, 1 (one) member and his alternate shall be elected and/or removed, by means of a
separate vote, by the employees of the company. |
|
§ 6- The Chairman and the Vice-Chairman of the Board of Directors shall be elected among the
members thereof during a Meeting of the Board of Directors to be held immediately after the
General Meeting which has elected them. |
|
§ 7- In the case of impediment or temporary absence, the Vice-Chairman shall replace the
Chairman, and during the period of such replacement the Vice-Chairman shall have powers
identical to those of the Chairman, the alternate of the Chairman being nevertheless entitled
to exercise the right to vote in his capacity as a member of the Board of Directors. |
|
§ 8- Should a vacancy occur in the office of Chairman or Vice-Chairman, the Board of Directors
shall elect the respective alternates in the first Meeting to be held after the vacancy. |
|
§ 9- During their impediments or temporary absences, the members of the Board of Directors shall
be replaced by their respective alternates. |
|
§ 10- Should a vacancy occur in the office of a member of the Board of Directors or of an
alternate, the vacancy shall be filled by nomination by the remaining members of an alternate
who shall serve until the next General Meeting, which shall decide on his election. Should
vacancies occur in the majority of such offices, a General Meeting shall be convened in order
to proceed with a new election. |
|
§ 11- Whenever the Board of Directors is elected under the multiple vote regime, as established
in Article 141 of Law # 6,404/1976, the Chairman of the shareholders meeting shall inform
those shareholders present that the share which elected a member of the Board of Directors, by
means of a separate vote in accordance with §§2 and 3 of Article 11, may not participate in
the multiple vote regime and, evidently, may not participate in the calculation of the
respective quorum. Once the separate vote has been held, then the ratio may be definitively
defined in order to proceed with the multiple vote. |
|
§ 12- With the exception of the effective members and their respective alternates, elected by means
of separate vote, respectively, by the employees of the company and by the holders of
preferred shares, under section II, §2 of Article 11, whenever the election for the Board of
Directors is held under the multiple vote regime, the removal of any member of the Board of
Directors, effective or alternate, by the general shareholders meeting, shall imply in the
removal of the other members of the Board of Directors, and consequently a new election shall
be held; in other cases of vacancy, in the absence of an alternate, the first general
shareholders meeting shall elect the whole Board. |
|
§ 13- Whenever, cumulatively, the election of the Board of Directors is held under the multiple
vote system and the holders of common shares or preferred shares or company employees exercise
the right established in §§ 2, 3 and 5 above, the shareholder or group of shareholders under
vote agreement who hold over 50% (fifty percent) of shares with voting rights, shall be
ensured the right to elect officers in a number equal to those elected by the other
shareholders, plus one, irrespective of the number of officers established in the caption of
Article 11. |
|
§ 14- The Board of Directors shall have a Secretary, appointed by the Chairman of the Board of
Directors, who shall necessarily be an employee or administrator of the company, in whose
absence or impediment shall be replaced by another employee or administrator as designated by
the Chairman of the Board of Directors. |
Subsection II Workings
Article 12 The Board of Directors shall meet on an ordinary basis once a month and extraordinary
whenever called by the Chairman or, in his absence, by the Vice-Chairman of the Board or by any 2
(two) members acting together.
Article 13 Meetings of the Board of Directors shall only be held with the presence of and
decisions shall only be taken by the affirmative vote of a majority of its members.
Page: 77
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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1 -
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CVM CODE
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2 -
|
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NAME OF THE COMPANY
|
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3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
|
00417-0
|
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|
COMPANHIA VALE DO RIO DOCE
|
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|
|
33.592.510/0001-54 |
|
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§ 1- The minutes of the meetings of the Board of Directors shall be recorded in the Book of
Minutes of Meetings of the Board of Directors which, after having been read and approved by
the officers present at the meetings, shall be signed in a number sufficient to constitute the
majority necessary for approval of the subjects examined. |
|
§ 2- The Secretary shall be responsible for the recording, distribution, filing and safeguard of
the respective minutes of the meetings of the Board of Directors, as well as for the issuance
of abstracts of the minutes and certificates of approvals of the Board of Directors. |
Subsection III Responsibilities
Article 14 The Board of Directors shall be responsible for:
I. |
|
electing, evaluating and at any time removing the Executive Officers of the company, and
assigning functions to them; |
|
II. |
|
distributing the remuneration established by the general shareholders meeting among its members and those of the Executive Board; |
|
III. |
|
assigning the functions of Investor Relations to an Executive Officer; |
|
IV. |
|
approving the policies relating to selection, evaluation, development and remuneration of members of the Executive Board; |
|
V. |
|
approving the companys human resources general policies as submitted to it by the Executive
Board; |
|
VI. |
|
establishing the general guidance of the business of the company, its whollyowned subsidiary companies and controlled companies; |
|
VII. |
|
approving the strategic guidelines and the strategic plan of the company submitted annually by the Executive Board; |
|
VIII. |
|
approving the companys annual and multi-annual budgets, submitted to it by the Executive Board; |
|
IX. |
|
monitoring and evaluating the economic and financial performance of the company, and may request the Executive Board to provide
reports with specific performance indicators; |
|
X. |
|
approving investments and/or divestiture opportunities submitted by the Executive Board which
exceed the limits established for the Executive Board as defined by the Board of Directors; |
|
XI. |
|
issuing opinions on operations relating to merger, split-off, incorporation in which the company is a party, as well as share
purchases submitted by the Executive Board; |
|
XII. |
|
with the provisions set forth in Article 2 of the present By-Laws being complied with, making decisions concerning the
setting-up of companies, or its transformation into another kind of company, direct or indirect participation in the capital of
other companies, consortia, foundations and other organizations, by means of the exercise of rights withdrawal, the exercise of
non-exercise of rights of subscription, or increase or sale, both direct and indirect, of corporate equity, or in any other
manner prescribed by law, including but not limited to, merger, split-off and incorporation in companies in which it
participates; |
|
XIII. |
|
approving the corporate risks and financial policies of the company submitted by the Executive Board; |
|
XIV. |
|
approving the issuance of simple debentures, not convertible into share and without collateral submitted by the Executive Board; |
|
XV. |
|
approving the accounts of the Executive Board, substantiated in the Annual Report and the Financial Statements, for
subsequent submission to the Ordinary General Meeting; |
Page: 78
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
|
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1 -
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CVM CODE
|
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2 -
|
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NAME OF THE COMPANY
|
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3 -
|
|
CNPJ (CORPORATE TAXPAYER NUMBER) |
|
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00417-0
|
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|
COMPANHIA VALE DO RIO DOCE
|
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|
33.592.510/0001-54 |
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XVI. |
|
approving the employment of profit for the year, the distribution of dividends and, when necessary, the capital budget,
submitted by the Executive Board, to the later direction to the appreciation of the Ordinary Shareholders Meeting; |
XVII. |
|
selecting and removing external auditors of the company, based on the Fiscal Councils recommendation, in accordance with
section (ii) of §1º of Article 39; |
XVIII. |
|
appointing and removing the person responsible for the internal auditing and for the Ombud of the company, who shall report
directly to the Board of Directors; |
|
XIX. |
|
approving the policies and the annual audit plan of the company submitted by the person responsible for internal auditing, as
well as to acknowledge the respective reports and determine the adoption of necessary measures; |
|
XX. |
|
overseeing the management of the company by the Executive Officers and examining at any time, the books and documents of the
Company, requesting information about contracts signed or about to be signed, and about any other actions, in order to ensure
the financial integrity of the Company; |
|
XXI. |
|
approving alterations in corporate governance rules, including, but not limited to, the process of rendering of accounts and
the process of disclosure of information; |
|
XXII. |
|
approving policies of employee conducts based on ethical and moral standards described in the Code of Ethics of the Company,
to be observed by all administrators and employees of the Company, its subsidiaries and controlled companies; |
|
XXIII. |
|
approving policies to avoid conflicts of interests between the Company and its shareholders or its administrators, as well as
the adoption of the measures considered necessary in the event such conflicts arise; |
|
XXIV. |
|
approving policies of corporate responsibility of the Company, mainly those related to: the environment, health and labor
safety, and social responsibility of the Company, submitted by the Executive Board; |
|
XXV. |
|
establishing criteria for the Executive Board in relation to the purchase of, sale of and placing of liens on fixed assets
and for the constitution of encumbrances, the provisions set forth in Article 7 of the present By-Laws being complied with; |
|
XXVI. |
|
approving the provision of guarantees in general, and establishing criteria for the Executive Board in relation to the
contracting of loans and financing and for the signing of other contracts; |
XXVII. |
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establishing criteria for the Executive Board in relation to the signing of commitments,
waiving of rights and transactions of any nature, except for the waiver of its preemptive
rights in the subscription and purchase of shares, under section XII of Article 14; |
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XXVIII. |
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approving any matters which are not the competence of the Executive Board, under the terms
of the present By-Laws, as well as matters whose limits exceed the criteria established for
the Executive Board, as established in Article 14; |
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XXIX. |
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approving any reformulation, alteration, or amendment of shareholders agreements or
consortia contracts, or of agreements among the shareholders or among the consortia parties of
companies in which the company participates, as well as approving the signing of new
agreements and/or consortia contracts that address subjects of this nature; |
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XXX. |
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authorize the negotiation, signing or alteration of contracts of any kind of value between
the company and (i) its shareholders, either directly or through intermediary companies (ii)
companies which directly or indirectly participate in the capital of the controlling
shareholder or which are controlled, or are under joint control, by companies which
participate in the capital of the controlling shareholder, and/or (iii) companies in which the
controlling shareholder of the company participates, and the Board of Directors may establish
delegations, with standards and procedures, which meet the requirements and nature of the
operations, without prejudice of keeping the aforementioned group duly informed of all company
transactions with related parties; |
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XXXI. |
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expressing its opinion regarding any matter to be submitted to the General Meeting of
Shareholders; |
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XXXII. |
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authorizing the purchase of shares of its own issuance for maintenance in treasury,
cancellation or subsequent sale; |
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XXXIII. |
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approving the recommendations submitted by the Fiscal Council of the Company in the exercise
of its legal and statutory attributions. |
Page: 79
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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CVM CODE
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NAME OF THE COMPANY
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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§ 1- The Board of Directors shall be responsible for appointing, as submitted by the Executive
Board, the persons who shall form part of the Administrative, Consulting and Audit bodies of
those companies and organizations in which the company participates, directly or indirectly. |
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§ 2- The Board of Directors may, at its discretion, delegate the assignment mentioned in the
prior paragraph to the Executive Board. |
SECTION II COMMITTEES
Article 15 The Board of Directors, shall have, for advice on a permanent basis, 5 (five)
technical and advisory committees, denominated as follows: Executive Development Committee,
Strategic Committee, Finance Committee, Accounting Committee and Governance and Sustainability
Committee.
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§ 1 - The Board of Directors, at its discretion, may also establish, for its consulting support,
other committees to fulfill consultant or technical tasks, other than those permanent
committees as set forth in the caption of this Article. |
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§ 2 - The members of the committees shall be remunerated as established by the Board of
Directors, and those members who are administrators of the company shall not be entitled to
additional remuneration for participating on the committees. |
Subsection I Mission
Article 16 The mission of the committees shall be to provide support to the Board of Directors,
which includes the follow up of the activities of the Company, in order to increase the efficiency
and quality of its decisions.
Subsection II Composition
Article 17 The members of the committees shall have proven experience and technical skills in
relation to matters that are the object of the respective committees responsibility and shall be
subject to the same legal duties and responsibilities as the administrators.
Article 18 The composition of each committee shall be defined by the Board of Directors.
§ 1 - The members of the committees shall be appointed by the Board of Directors and may belong to
company administration bodies or not.
§ 2 - The term of management for the members of the committees shall begin as of their appointment
by the Board of Directors, and termination shall coincide with the end of the management term of
the members of the Board of Directors, and reappointment shall be permitted.
§ 3 - During their management, members of the committees may be removed from office by the Board of
Directors.
Subsection III Workings
Article 19 Standards relating to the workings of each committee shall be defined by the Board of
Directors.
|
§ 1- The committees established within the company shall not have decision making power and
their reports and proposals shall be submitted to the Board of Directors for approval. |
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§ 2- The committees reports do not constitute a necessary condition for the presentation of
matters for scrutiny and approval by the Board of Directors. |
Page: 80
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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CVM CODE
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NAME OF THE COMPANY
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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Subsection IV Responsibilities
Article 20 The main duties of the committees are set forth in Article 21 and subsequent articles,
whereas their detailed duties shall be defined by the Board of Directors.
Article 21 The Executive Development Committee shall be responsible for:
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I- issuing reports on the human resources general policies of the Company submitted by the Executive Board to the Board of Directors; |
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II- analyzing and issuing reports to the Board of Directors on the restatement of remuneration of members of the Executive Board; |
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III- submitting and ensuring up-to-dateness of the performance evaluation methodology of the members of the Executive Board; and |
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IV- issuing reports on potential conflicts of interest between the company and its shareholders or administrators. |
Article 22 The Strategic Committee shall be responsible for:
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I- issuing reports on the strategic guidelines and the strategic plan submitted annually by the Executive Board; |
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II- issuing reports on the companys annual and multi-annual investment budgets submitted by the Executive Board to the Board of
Directors; |
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III- issuing reports on investment and/or divestiture opportunities submitted by the Executive Board to the Board of Directors; |
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IV- issuing reports on operations relating to merger, split-off, incorporation in which the company and its controlled subsidiaries
are a party, and on share purchases submitted by the Executive Board to the Board of Directors. |
Article 23 The Finance Committee shall be responsible for:
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I- issuing reports on the corporate risks and financial policies and the internal financial control systems of the Company; |
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II- issuing reports on the compatibility between the remuneration level of shareholders and the parameters established in the annual
budget and financial scheduling, as well as its consistency with the general policy on dividends and the capital structure of the
company. |
Article 24 The Accounting Committee shall be responsible for:
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I- recommending the appointment of the person responsible for the internal auditing of the Company to the Board of Directors ;
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II- issuing reports on the policies and the Companys annual auditing plan submitted by the employee responsible for internal
auditing, and on its execution; |
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III- tracking the results of the Companys internal auditing, and identifying, priorizing, and submitting actions to be accompanied by
the Executive Board to the Board of Directors; |
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IV- analyzing the Annual Report, as well as the Financial Statements of the company and making recommendations to the Board of
Directors. |
Article 25 The Governance and Ethics Committee shall be responsible for:
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I- evaluating the efficiency of the companys governance practices and the workings of the Board of Directors, and submitting
improvements; |
Page: 81
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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CVM CODE
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NAME OF THE COMPANY
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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II- submitting improvements to the code of ethics and in the management system in order to avoid conflicts of interests between the
company and its shareholders or company administrators; and |
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III- issuing reports on policies relating to corporate responsibility, such as the environment, health, safety and social
responsibility of the company submitted by the Executive Board. |
SECTION III EXECUTIVE BOARD
Subsection I Composition
Article 26 The Executive Board, the executive administration body of the company, shall consist
of 6 (six) to 9 (nine) members, one of whom shall be the Chief Executive Officer and others shall
be Executive Officers.
|
§1- The Chief Executive Officer shall submit to the Board of Directors the names of candidates
for the Executive Board with renowned knowledge and specialization in the subject of
responsibility of the respective operational area, and may also at any time submit to the
Board of Directors a motion to remove. |
|
§2- The Executive Officers shall have their individual duties defined by the Board of
Directors. |
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§3- The management term of the members of the Executive Board shall be 2 (two) years, and
re-election shall be permitted. |
Subsection II - Workings
Article 27 In the case of temporary impediment of the Chief Executive Officer, same shall be
replaced by another member of the Executive Board designated by majority vote of the members of the
Executive Board, and in the case of absence, the Chief Executive Officer may designate his own
substitute, who shall assume all legal, statutory and regulatory duties and responsibilities.
|
§1- In the case of temporary impediment or absence of any Executive Officer, same shall be
replaced by one of the Executive Officers appointed by the Chief Executive Officer, who shall
accumulate the legal, statutory and regulatory responsibilities of the absent or impeded
Executive Officer, for the term of exercise of the post of the substituted Executive Officer,
excluded the right to vote at Executive Board meetings. |
§2- Should a vacancy occur in the office of an Executive Officer, the substitute member shall be
selected and his name shall be submitted by the Chief Executive Officer to the Board of Directors
who shall elect him to complete the remaining term of the substituted officer.
§3- Should a vacancy occur in the office of the Chief Executive Officer, the Executive Officer in
charge of Finance shall substitute the Chief Executive Officer, accumulating his own duties, rights
and responsibilities with those of the Chief Executive Officer until the Board of Directors holds a
new election for the office of Chief Executive Officer.
Article 28 In respect of the limits established for each Executive Officer, the decisions on
matters affecting his specific operational area, provided that the matter does not affect the
operational area of another Executive Officer, shall be taken by himself or in conjunction with the
Chief Executive Officer, in matters or situations pre-established by the latter.
Article 29 The Executive Board shall meet on an ordinary basis once a fortnight and
extraordinarily whenever called by the Chief Executive Officer or his substitute.
Sole Paragraph The Chief Executive Officer shall convene an extraordinary meeting of the
Executive Board by virtue of the request of at least 3 (three) members of the Executive Board;
Article 30 The meetings of the Executive Board shall only begin with the presence of the majority
of its members.
Article 31 The Chief Executive Officer shall chair the meetings of the Executive Board in order
to priorize consensual approvals amongst its members.
Page: 82
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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CVM CODE
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NAME OF THE COMPANY
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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§ 1- When there is no consent among members of the Board, the Chief Executive Officer may (i)
withdraw the issue from the agenda, (ii) attempt to form a majority, with the use of his
casting vote or, (iii) in the interests of the company and by grounded presentation, decide
individually on the matters raised for joint approval, including those listed in Article 32,
and in respect of the exceptions stated in §2 following; |
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§ 2- Decisions relating to annual and multi-annual budgets and to the strategic plan and the
Annual Report of the company shall be taken by majority vote, considered to be all Executive
Officers, provided that the favorable vote of the Chief Executive Officer is included therein. |
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§ 3- The Chief Executive Officer shall inform the Board of Directors the utilization of the
prerogative concerning item (iii), §1 stated above, in the first Board of Directors meeting
which succeed the corresponding decision. |
Subsection III Responsibilities
Article 32 The Executive Board shall be responsible for:
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I approving the creation and elimination of Executive Departments subordinated to each Executive Director; |
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II preparing and submitting to the Board of Directors the companys general policies on human resources,
and executing the approved policies; |
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III complying with and ensuring compliance with the general guidelines and business policies of the Company
laid down by the Board of Directors; |
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IV preparing and submitting, annually, to the Board of Directors, the companys strategic guidelines and
the strategic plan, and executing the approved strategic plan; |
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V preparing and submitting the Companys annual and multi-annual budgets to the Board of Directors, and
executing the approved budgets; |
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VI planning and steering the companys operations and reporting the companys economic and financial
performance to the Board of Directors, and producing reports with specific performance indicators; |
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VII identifying, evaluating and submitting investment and/or divestiture opportunities to the Board of
Directors which exceed the limits of the Executive Board as defined by the Board of Directors, and
executing the approved investments and/or divestitures; |
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VIII identifying, evaluating and submitting to the Board of Directors operations relating to merger, split-off, incorporation in which the company
is a party, as well as share purchases, and conducting the approved mergers, split-offs, incorporations and purchases; |
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IX preparing and submitting the companys finance policies to the Board of Directors, and executing the approved policies; |
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X submitting to the Board of Directors the issuance of simple debentures, not convertible into shares and without collateral; |
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XI defining and submitting to the Board of Directors, after the drawing up of the balance sheet, the employment of profit for
the year, the distribution of company dividends and, when necessary, the capital budget; |
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XII preparing in each fiscal year the Annual Report and Financial Statements to be submitted to the Board of Directors and the
General Meeting; |
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XIII adhere to and encourage adhesion to the companys code of ethics, established by the Board of Directors; |
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XIV preparing and submitting to the Board of Directors the companys policies on corporate responsibility, such as the
environment, health, safety and social responsibility, and implementing the approved policies; |
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XV authorizing the purchase of, sale of and placing of liens on fixed and non fixed assets including securities, the
contracting of services, the company being the provider or receiver of such, being empowered to establish standards and
delegate powers, all in accordance with the criteria and standards established by the Board of Directors; |
Page: 83
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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NAME OF THE COMPANY
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3 -
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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XVI authorizing the signing of agreements, contracts and settlements that constitute liabilities, obligations or commitments
on the company, being empowered to establish standards and delegate powers, all in accordance with the criteria and
standards established by the Board of Directors; |
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XVII propose to the Board of Directors any reformulation, alteration, or amendment of shareholders agreements or of agreements
among the shareholders of companies in which the company participates, as well as suggesting the signing of new agreements
and consortia contracts that address subjects of this nature; |
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XVIII- authorizing the opening and closing of branch offices, subsidiary branch offices, depots,
agencies, warehouses, representative officer or any other type of establishment in Brazil or
abroad; |
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XIX authorizing the undertaking of commitments, waiver of rights and
transactions of any nature, liens on securities being excepted,
under the terms of section XII of Article 14, being empowered to
establish standards and delegate powers in accordance with the
criteria and standards established by the Board of Directors; |
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XX establishing and informing the Board of Directors on the individual
limits of the Executive Officers, in respect of the limits of the
Executive Board jointly, as established by the Board of Directors; |
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XXI establishing, based on the limits fixed for the Board of Directors,
the limits throughout the whole of the companys administrative
organization hierarchy. |
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§1- The Executive Board shall be empowered to lay down voting guidelines to be followed at the
General Meetings by its proxies in the companies, foundations and other organizations in which
the company participates, directly or indirectly, the investment plans and programs of the
company, as well as the respective budgets being complied with, the limit of responsibility
being observed as regards, among others, indebtedness, the sale of assets, the waiver of
rights and the reduction of corporate equity investments. |
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§2- The Executive Board shall take steps to appoint persons who shall form part of the
Administrative, Consultant and Audit bodies of those companies and organizations in which the
company participates directly or indirectly. |
Article 33 The responsibilities of the Chief Executive Officer are to:
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I take the chair at meetings of the Executive Board; |
|
II exercise executive direction of the Company, with powers to coordinate and supervise the activities of the other Executive
Officers, exerting his best efforts to ensure faithful compliance with the decisions and guidelines laid down by the Board
of Directors and the General Meeting; |
|
III coordinate and supervise the activities of the business areas and units that are directly subordinated to him; |
|
IV select and submit to the Board of Directors the names of candidates for Executive Officer posts to be elected by the Board
of Directors, and also to propose the respective removal; |
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V coordinate the decision making process of the Executive Board, as provided for in Article 31 of Subsection II Workings; |
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VI grant vacation and leave to the members of the Executive Board, and designate other Executive Officers as their alternates; |
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VII keep the Board of Directors informed about the activities of the company; |
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VIII together with the other Executive Officers, prepare the annual report and draw up the balance sheet; |
Article 34 The Executive Officers are to:
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I organize the services for which they are responsible; |
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II participate in meetings of the Executive Board, contributing to the definition of the policies to be followed
by the company and reporting on matters of the respective areas of supervision and coordination; |
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III comply with and ensure compliance with the policy and general guidance of the companys business laid down by
the Board of Directors, each Executive Officer being responsible for his business units and specific area of
activities; |
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IV - contract the services described in §2º of Article 39, in compliance with determinations of the Fiscal Council. |
Page: 84
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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CVM CODE
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NAME OF THE COMPANY
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3 -
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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Article 35 The company shall be represented as plaintiff or defendant in courts of law or
otherwise, including as regards the signature of documents constituting responsibility for this, by
2 (two) members of the Executive Board, or by 2 (two) proxies established in accordance with § 1 of
this Article, or by 1 (one) proxy jointly with an Executive Officer.
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§1 - Except when otherwise required by law, proxies shall be appointed by a power of attorney
in the form of a private instrument in which the powers granted shall be specified, the term
of validity of powers of attorney ad negotia expiring on December 31 of the year in which it
is granted. |
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§2 - The company may, moreover, be represented by a single proxy at the General Meetings of
shareholders of the companies, consortia and other organizations in which it participates or
for acts arising out the exercise of powers specified in a power of attorney ad judicia or:
(a) at agencies at any level of government, customs houses and public service concessionaires
for specific acts for which a second proxy is not necessary or not permitted; (b) for signing
of contract instruments in solemnity or at which the presence of a second proxy is not
possible; (c) for signing of documents of any kind which imply in an obligation for the
company whose monetary limits shall be established by the Executive Board. |
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§3 In the case of commitments assumed abroad, the company may be represented by a single
member of the Executive Board, or by an attorney in-fact with specific and limited powers
according to the present By-Laws. |
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§4 - Summons and judicial or extrajudicial notifications shall be made in the name of the
Executive Officer responsible for Investor Relations, or by proxy as established in § 1 of
this Article. |
CHAPTER V FISCAL COUNCIL
Article 36 The Fiscal Council, a permanently functioning body, shall be formed of 3 (three) to 5
(five) effective members and an equal number of alternates, elected by the General Meeting, which
shall fix their remuneration.
Article 37 The members of the Fiscal Council shall carry out their duties until the first
Ordinary General Meeting to be held following their election, their re-election being permitted.
Article 38 In their absence or impediment, or in cases of vacancy of office, the members of the
Fiscal Council shall be replaced by their respective alternates.
Article 39 The Fiscal Council shall be responsible to exercise the functions attributed to it by
the applicable prevailing legislation, in these By-Laws, and as regulated by its own Internal Rules
to be approved by its members;
§ 1º- The Internal Rules of the Fiscal Council shall regulate, in addition to the attributions
already established in Law 6.404/76, imperatively, the following:
|
(i) |
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to establish the procedures to be adopted by the Company to receive, process and treat
denunciations and complaints related to accounting, internal accounting controls and
auditing matters, and ensure that the procedures for receiving complaints will guarantee
secrecy and anonymity to the complainants; |
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(ii) |
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to recommend and assist the Board of Directors in the selection, remuneration and
dismissal of the external auditors of the Company; |
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(iii) |
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to deliberate concerning the contracting of new services that may be rendered by the
external auditors of the Company; |
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(iv) |
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to supervise and evaluate the work of the external auditors, and to direct the
management of the Company concerning any need to withhold the remuneration of the external
auditor, as well as to mediate any disputes between management and the external auditors
regarding the financial statements of the Company; |
§ 2º For adequate performance of its duties, the Fiscal Council may determine the contracting of
services from lawyers, consultants and analysts, and other resources that may be necessary for the
performance of its duties, while observing the budget, proposed by the Fiscal Council and approved
by the Board of Directors, without prejudice to the provisions established in §8º of Article 163 of
Law 6.404/76;
Page: 85
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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NAME OF THE COMPANY
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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§3º- The members of the Fiscal Council shall provide, within at least 30 (thirty) days before the
Annual Shareholders Meeting is held, their analysis of the management report and the financial
statements.
CHAPTER VI COMPANY PERSONNEL
Article 40 The company shall maintain a social security plan for its employees administered by a
foundation established for this purpose, the provisions of prevailing legislation being complied
with.
CHAPTER VII FINANCIAL YEAR AND DISTRIBUTION OF PROFITS
Article 41 The fiscal year of the company shall coincide with the calendar year, thus finishing
on December 31, when the balance sheets shall be prepared.
Article 42 After the constitution of the legal reserve, the employment of the remaining portion
of the net profit verified at the end of each financial year (which shall coincide with the
calendar year) shall, on the motion of the Administration, be submitted to the decision of the
General Meeting.
Sole Paragraph The amount of the interest, paid or credited in the form of interest on
stockholders equity in accordance with the prescriptions of Article 9, § 7 of Law # 9,249 dated
December 26, 1995 and of relevant legislation and regulations, may be ascribed to the compulsory
dividend and to the minimum annual dividend on the preferred shares, such amount for all legal
purposes forming the sum of the dividends distributed by the company.
Article 43 The proposal for distribution of profit shall include the following reserves:
I. |
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Depletion Reserve, to be constituted in accordance with prevailing fiscal legislation; |
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II. |
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Investments Reserve, in order to ensure the maintenance and development of the main
activities which comprise the companys purpose, in an amount not greater than 50% (fifty
percent) of distributable net profit up to a maximum of the companys share capital. |
Article 44 At least 25% (twenty-five percent) of the net annual profit, adjusted as per the law,
shall be devoted to the payment of dividends.
Article 45 At the proposal of the Executive Board, the Board of Directors may determine the
preparation of the balance sheets in periods of less than a year and declare dividends or interest
on stockholders equity on account of the profit verified in these balances as well as to declare
for the account of accrued profits or profit reserves existing in the latest annual or semi-annual
balance sheet.
Article 46 The dividends and interest on stockholders equity mentioned in the Sole Paragraph of
Article 42 shall be paid at the times and at the places specified by the Executive Board, those not
claimed within 3 (three) years after the date of payment reverting in favour of the company.
This attachment constitutes part of the Minutes of the Ordinary and Extraordinary General
Shareholders Meetings held on April 27, 2006.
Page: 86
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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Rio de Janeiro, April 27, 2006.
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Jorge Luiz Pacheco
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Kátia Christina V. Rabelo de Melo |
Chairman
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Secretary |
Page: 87
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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19.01 COMPETITORS
AFFILIATED: ITABIRA RIO DOCE COMPANY LTDA.
Itaco is a trading company which commercializes products manufactured by
companies of the CVRD group to customers in Latin America, North America,
Africa, Asia, Middle East and Europe. No competition is established by those
companies.
Page: 88
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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19.03 RAW MATERIAL AND SUPLLIERS
AFFILIATED: ITABIRA RIO DOCE COMPANY LTDA.
Itaco operates as trading company and does not beneficiate goods. On December,
2005 the amount of suppliers was US$ 625 millon, and of this value only US$ 5
million related to third parties. In 2004 we totaled US$ 485 million with
suppliers. This increase between 2004 and 2005 due to iron ore and pellets
price renegociation agreements.
Below the Group suppliers that had amounts on December 2005:
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Albrás; |
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Alunorte; |
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CVRD; |
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CVRD Overseas; |
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Mineração Rio do Norte MRN; |
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Rio Doce Manganês |
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Rio Doce Manganês Norway |
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Seamar;e |
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Urucum |
Page: 89
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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19.04 MAIN CUSTOMER PER PRODUCTS AND/OR SERVICES
AFFILIATED: ITABIRA RIO DOCE COMPANY LTDA.
In 2004 and 2005 the revenue of goods of ITACO increased by approximately 78% (from US$ 3.3
billion in 2004 to US$ 5.8 billion in 2005). This increase is due to the excellent results
obtained with iron ore and pellets. Those products accounted for 81% of the companys total
revenue.
Below we discribe the main clients by each traded product of the company.
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Iron ore: Bao Steel, Corus, Gulf Industrial, Maanshan Iron & Steel, Nippon
Steel, Philipine Sinter Corp, Rogesa, Sollac, Sumitomo Metal e Tangshan Iron; |
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Pellets: Bao Steel, Caribbean Ispat, Rio Doce Ltd, Siderar e Wheeling; |
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Copper: LG Nikko Copper, Sterlite Industries e Glencore International; |
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Manganese: Best Power, Nikopol, Rio Doce Manganese Europe, Rio Doce Manganese
Norway, Shanghai, SK Resources e Tongchuan; |
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Alumina: Alcan, Glencore e Hydro Aluminium; |
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Aluminum: Hydro Aluminium e Noble Resources; e |
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Bauxite: Glencore, Limerick Alumina Refining e Ormet Primary Aluminum
Corporation. |
Page: 90
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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19.05 OPERATIONS WITH RELATED COMPANIES
AFFILIATED: ITABIRA RIO DOCE COMPANY LTDA.
PRODUCTS/CUSTOMERS
Pellets/Iron Ore
Companhia Vale do Rio Doce CVRD
Urucum Mineração S.A.
Manganese/Ferroalloys
Rio Doce Manganês
Urucum Mineração S.A.
Alumina/Aluminium
Alunorte Alumina do Norte do Brasil S.A.
Albras Alumínio Brasileiro S.A.
Bauxite
MRN Mineração Rio do Norte S.A.
Cobre
Companhia Vale do Rio Doce
PRODUCTS/SELLERS
Pellets/ Iron Ore
Gulf Industrial Investment Co. GIIC
Rio Doce Limited
Manganese/Ferroalloys
Rio Doce Manganèse Europe
Rio Doce Manganèse Norway
Page: 91
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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19.09 CHARACTERISTICS OF THE BRANCH ACTIVITY
AFFILIATED: ITABIRA RIO DOCE COMPANY LTDA.
Itaco trades iron ore, pellets, manganese, ferroalloys aluminum and alumina
to Europe, Asia, Latin America, North America, Middle East and Africa.
Page: 92
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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19.10 PERFORMANCE REPORT
AFFILIATED: ITABIRA RIO DOCE COMPANY LTDA.
2005 result was one of the best registered by Itaco (US$ 1,839 million in 2005 against
US$ 505 million in 2004). The growth is mainly due to margims obtained with goods and the
equity result, analysed below:
Goods
Iron ore and pellets acccounted for 95% of the margim variation obtained in 2005.
Iron ore registered a US$ 979 million of gross margim in 2005 and US$ 239 million in 2004.
Pellets registered a US$ 256 million of gross margin ins 2005 and US$ 67 million in 2004.
Investments
The positve variation obtained with equity result on December 2005 compared to 2004 is
mainly due to the following companies: CVRD Overseas e Amazon Iron Ore.
CVRD Overseas is located at Bahamas and its main activity is trading iron ore and pellets
produced by CVRD Group. The result obtained in 2005 reflects better margim from this
company.
Amazon Iron Ores main activity is the investment in Caemi Mineração of 60%. The result
of 2005 refers basically to the equity of this investment.
Page: 93
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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19.01 COMPETITORS
AFFILIATED: RIO DOCE EUROPA S. A. R. L.
The affiliated company Rio Doce Europa S.A.R.L is a holding company without
operational activities, hence the items below will present information of Rio
Doce International Finance Ltd.
Nothing to report.
Page: 94
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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00417-0
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COMPANHIA VALE DO RIO DOCE
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19.05 OPERATIONS WITH RELATED COMPANIES
AFFILIATED: RIO DOCE EUROPA S. A. R. L.
LOAN CONTRACTS
Companhia Vale do Rio Doce CVRD
Vale do Rio Doce Navegação S.A. DOCENAVE
Itabira Rio Doce Company Limited ITACO
Seamar Shipping Corporation SEAMAR
Rio Doce Manganêse Europe RDME
Rio Doce Norway RDN
Rio Doce Manganêse Norway RDMN
Société Industrielle Et Commerciale Brasilo-Luxembourgeouse S.A . Brasilux
Brasamericán
Rio Doce América RDA
Rio Doce International RDI
Rio Doce Limited
Amazon Iron Ore
FCA Overseas
PPSA Overseas
Ferteco Internacional
Page: 95
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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00417-0
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COMPANHIA VALE DO RIO DOCE
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19.09 CHARACTERISTICS OF THE BRANCH ACTIVITY
AFFILIATED: RIO DOCE EUROPA S. A. R. L.
The company has acted as a sub agent of iron ore sales in Europe and,
according by, is affected by changes in the European market conditions.
Page: 96
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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19.10 PERFORMANCE REPORT
AFFILIATED: RIO DOCE EUROPA S. A. R. L.
In December 2005 the company registered a net loss of US$ 143.706, which
represents a reduction of 157.27% compared to the same period of the last year
when the Company had a net profit of US$ 84,023.Continuing the operating
closing down operations that started in 2004, REDIF no long has operating
revenues, considering that the commissions received up to 2003 (in 2004 were
registered revenues in the amount of US$ 2,354, relating to differences in the
commissions received from Brasilux in prior periods) were suspended since
Brasilux faced with difficulties, although due to CVRD contractual terms, RDIF
has maintained the sales agent office costs.
Office abroad expenses: reduction of 80.86% (US$ 8,896 in 2005, and US$ 16,089
in 2004) in the services costs occurred substantially by the transfer of the
costs contract of the RDASIA (Shanghai and Tokyo) to Itaco since June 2005.
Financial Result:
Financial income: resulting from market securities interests and, principally,
interests received from loans to CVRD companies group. Increase of 56.74% (US$
30,909 in 2005 and US$ 13,370 in 2004), which occurred due to a new loan as
from march 2005 to Itaco of US$ 300.000.
Financial expenses: interests originated from CVRDs group loans obtained and
financial charges, as for example, banking charges.Reduction of 15.56% (US$
12,334 in 2005, US$ 14,254 in 2004) that means that there was no new loans
agreement nor relevant parcels amortized during the period.
Exchange variation
Increase of 26.09% (US$ 152.121 in 2005, against US$ 112.438 in 2004). The
main reason of exchange rate variation registered in the RDIF was the
translation of the Balance Sheet into its functional currency (Real). The
exchange rate in 2005 was US$ 1.00 to R$ 2,3370 against to R$ 2,6544 in 2004.
Due to this Real appreciation of 13.58% generated a negative exchange
variation (liability) of US$ 167.393 in 2005 against US$ 111.650 in 2004,
consequence of currency devaluation of the dollar that in 2003 reached R$
2,8892..
Equity in results of affiliates companies
In 2004 RDIF took part in two important companies selling operation: The
Companhia Siderúrgica de Tubarão-CST and Pará Pigmentos S.A.-PPSA. The
Companhia Vale do Rio Doce (RDIFs indirect holding company) detained 28.02% of
the CST and 82.04% of the PPSA and has sold integrally to RDIF its interest in
the CST and PPSA by US$ 363,713 and US$ 36,570, respectively. RDIF has sold
them to Arcelor and Caemi, respectively, (CVRD group company). In spit of
RDIF has been used only to conclude these disinvestments, this transaction
generated an equity result in the Company of US$ 14,679 in CST and US$ 1,066 in
PPSA, calculated in the period as from July to December of 2004, period that
RDIF maintained these investments. This operation was the main reason to the
reduction of US$ 17,214 in the RDIF equity result.
Non-operating results
Resulting, mainly, by selling its interests in the CST, that after deducted the
dividend payments of US$ 10,017 and investments in the amount of US$ 382,463,
of the amount received from Arcelor of US$ 537,614, the Company had a net gain
of US$ 181,134.
Related to PPSA, this operation refers to acquisition and selling of companies
belonging to the same group. We understanding that RDIF receives of its
indirect holding company (CVRD) resources as capital increase by transfer of
investments/shares. Therefore, RDIF recorded net gain derived of this operation
in the stockholders equity as additional to the capital, which is recorded as
capital reserve in the amount of US$ 81,302.
Page: 97
FEDERAL PUBLIC SERVICE
SECURITIES COMMISSION (Comissão de Valores Mobiliários CVM)
ANNUAL INFORMATION IAN
YEAR ENDED 12/31/2005
01.01 IDENTIFICATION
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NAME OF THE COMPANY
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CNPJ (CORPORATE TAXPAYER NUMBER) |
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00417-0
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COMPANHIA VALE DO RIO DOCE
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33.592.510/0001-54 |
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20.00 INFORMATION ABOUT CORPORATE GOVERNANCE
High standards of transparency and respect for investors rights have been
recognized internationally by several awards. In 2005 CVRD was named as
the Latin American mining and metals company with the best corporate
governance by investment analysts participating in Institutional Investor
magazines annual survey, for the third year consecutive.
One of the aspects of our corporate governance practices is our concern
with individual investors, who held 10.8% of CVRDs total capital on
December 31, 2005.
With them in mind, we launched the Vale Investir program, which enables
Brazilian investors to reinvest dividends automatically in buying more of
the Companys shares. This is a pioneer action among non-financial
Brazilian companies stimulates the formation of long-term savings and
investments, and makes it possible for small volumes of CVRDs shares to
be bought with relatively low transaction costs.
Page: 98
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly
caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
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Date: June 2, 2006 |
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COMPANHIA VALE DO RIO DOCE |
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(Registrant) |
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By:
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/s/ Fabio de Oliveira Barbosa
Fabio de Oliveira Barbosa
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Chief Financial Officer |
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